Health Care

Health Care

How do health care reform and taxes connect? The Affordable Care Act is single largest change to the tax code in two decades. Find help navigating the complexities of the new health care legislation, Medicare, Medicaid and other medical deductions.

Posts: 1
Registered: ‎02-01-2018

8962 and IRS Letter...Refund Held

After filing 2017 taxes, I received a 12C letter from IRS stating they needed a copy of my 1095-A and 8962. I received a 1095-B for myself and both dependents; however, my sons dad had insurance through marketplace on him. I am guessing the forms are needed for this reason. I renewed my for Peach state/Medicaid for myself and newborn and added son as well around September. This is why I received 1095-B for him as well. My ex was unable to terminate the marketplace policy until end of year, so the 1095-A (which my ex received, not me) had son listed for all months. How do I go about providing IRS with what they need?


When I did my taxes I did not know anything about shared allocation, but I did respond to the question about types of insurance by checking both medicaid and marketplace options. At the time I did not know the 1095-A is considered mine since I am claiming my son. Now when I try and go back just to see what the outcome is from adding the info on 1095-A, my refund increases by almost 6,000, but I did not pay any of that 2400.00 from the 1095-A. And bc I do not qualify for the PTC, it will not ask me the shared allocation question again, if it ever did the first time I do not remember. 


I can allocate 100% to my ex, thats not a problem, but I am lost as to what to do. IRS says just send these forms, do not respond with 1040X amended. Please help!

Council Member
Posts: 548
Registered: ‎04-06-2016

Re: 8962 and IRS Letter...Refund Held

Since it's been over a month, I hope you've figured this out already, but if not:


1) Fill out the 8962 Part I and check "yes" to line 9 in Part II.

2) In Part IV, you'll put the policy number from the Form 1095-A in box a, your son's dad's social security number in box b (It should be the SSN listed on the 1095-A as that of the policy holder), If your son was covered under the marketplace plan all year: put '01' in box c assuming the policy started in January (month 01) if not, enter the 2-digit number of the month, '12' in box d, assuming the policy ended in December (month 12), if not enter the corresponding 2-digit number of the last month the policy covered.  In boxes e, f, and g, to allocate 0% to your son, enter 0.


3) Then you'll need to go to Part II and basically enter 0s (0% allocation times the amounts on the 1095-A) in columns a, b, and f for lines 12-23). Complete the rest of Part II and it should show 0 net premium tax credit on line 26.