jIMOh
Thinks s/he gets paid by the post
I am transitioning from working for a Mega Corp to contracting my skills.
Jan 1 2016 I will no longer have healthcare
I tend to contract my time for between $30-$75 per hour, and I have "never" not had health care. Dec 31 my current plan terminates and I will either need to pay some ACA tax, or get health care on my own.
To complicate matters, I live in Cincinnati Ohio, and will likely be working a contract in Detroit area or Buffalo area Feb 1.
Can someone explain the legal side of having health care (or choosing not to have it) and what penalties will be owed (for example if I am without health care for January, but have it rest of year, do I owe a penalty).
I am 42 yo and divorced
My kids are on their mothers policy
I am less familiar with Obamacare and the requirement to carry insurance (or pay a non insurance penalty). Anyone want to set me straight on their understandings of my options?
examples of what I read
Jan 1 2016 I will no longer have healthcare
I tend to contract my time for between $30-$75 per hour, and I have "never" not had health care. Dec 31 my current plan terminates and I will either need to pay some ACA tax, or get health care on my own.
To complicate matters, I live in Cincinnati Ohio, and will likely be working a contract in Detroit area or Buffalo area Feb 1.
Can someone explain the legal side of having health care (or choosing not to have it) and what penalties will be owed (for example if I am without health care for January, but have it rest of year, do I owe a penalty).
I am 42 yo and divorced
My kids are on their mothers policy
I am less familiar with Obamacare and the requirement to carry insurance (or pay a non insurance penalty). Anyone want to set me straight on their understandings of my options?
examples of what I read
Penalties for those without medical coverage: The penalty started at $95 or 1% of income (whichever is greater) per person in 2014. It gradually rises until it hits 2.5% or $695 (whichever is greater) per person in 2016.
The Affordable Care Act, requires that almost all U.S. citizens and legal residents (and their dependents) have health insurance for the entire year. This requirement started on January 1, 2014. There is a tax fee for not having health insurance during the year. There are very few exceptions to this requirement, so you may qualify for a tax payment exemption.
Who is Required to Have Health Insurance?
You must have have qualifying health insurance, qualify for an exemption, or make a payment for not having insurance when you file your tax return if you are one of the following:
A U.S. citizen OR
A non-U.S. citizen living in the United States.
How Will I Report My Health Insurance Coverage on My Tax Return?
If you have health insurance, you only have to check a box on your tax return (1040-EZ, 1040-A, or 1040) showing that you had health insurance for the year. When you prepare your tax return on efile.com, the software will ask you if you have health insurance, and once you answer "Yes," the software will automatically check the appropriate box on your return (so you don't have to!).
Though you cannot file 2015 tax returns yet, you can sign up for your 2015 tax return by click the button below. We'll send you an email letting you know when you can start preparing your 2015 return online!
What If I Don't (or Won't) Have Health Insurance?
If you can afford health insurance but choose not to buy it in any month during the Tax Year, generally you will need to pay a fee that is known as the individual shared responsibility payment when you file your Tax Return on efile.com. You might be able to obtain an exemption from the payment, but that is only for certain circumstances. The payment may cause your tax refund to be lower, or might result in higher taxes due on your tax return.
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