easysurfer
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
- Joined
- Jun 11, 2008
- Messages
- 13,157
So, I'm thinking about to ACA or not ACA this year and am reading up when I have the question about dealing with the ACA tax credit at tax time.
Let me back up a bit.
Currently, getting insurance not from the Marketplace, I pay all my premiums on my own and recording the premium amount paid as some of that might be deductible come tax time.
But if one gets tax credits with ACA, what is deductable and what is not?
I did some searching and found a turbotax blog (paragraph mentioning subsidy quoted):
When Can You Claim a Tax Deduction for Health Insurance? | The TurboTax Blog
Let's say, I sign up for a plan via the Marketplace and decide to pay all the premium myself first, then at tax time get a refund on the tax credits I qualifed for. Since I paid "out of pocket" initially, does that mean what I paid is deductible? Or is that double dipping since I got a refund?
I hope I'm explaining my questions properly. Thanks.
Let me back up a bit.
Currently, getting insurance not from the Marketplace, I pay all my premiums on my own and recording the premium amount paid as some of that might be deductible come tax time.
But if one gets tax credits with ACA, what is deductable and what is not?
I did some searching and found a turbotax blog (paragraph mentioning subsidy quoted):
If you received a subsidy or premium tax credit to purchase an insurance plan in the Health Insurance Marketplace through the Affordable Care Act, any advanced-payment subsidy that lowered the cost of your health insurance premiums cannot be claimed as a tax deduction. However, the money you paid out of your own pocket for your premiums might be tax deductible.
When Can You Claim a Tax Deduction for Health Insurance? | The TurboTax Blog
Let's say, I sign up for a plan via the Marketplace and decide to pay all the premium myself first, then at tax time get a refund on the tax credits I qualifed for. Since I paid "out of pocket" initially, does that mean what I paid is deductible? Or is that double dipping since I got a refund?
I hope I'm explaining my questions properly. Thanks.