Affordable Care Act (ACA)

Click here for a 3 page Affordable Care Act Checklist (PDF).

Click here for a simple if-then chart outlining your health care coverage and impact to your tax return (link takes you to

To comply with reporting requirements in the ACA, the IRS has unveiled 5 new tax forms for your 1040.  Be advised that the preparation to support these new requirements could add anywhere from 1 to 3 hours of additional work on your tax return to insure compliance and avoid penalties. We will be showing a separate charge for “Affordable Care Act processing” as it is different from and in addition to our tax preparation fees.

Beginning in 2014, every taxpayer must either:

  • Have Minimum Essential Coverage, or
  • Have a Coverage Exemption, or
  • Make a Shared Responsibility Payment

If you don’t think ACA will affect you, think again:

  • Every 1040 taxpayer will have to make 1 of 3 choices on their return
  • 41 million people are uninsured
  • 7.1 million people are on the healthcare exchange

ACA is complex and any incorrect reporting can delay your refund.

    • New Form 8962: Premium Tax Credit (PTC) – (15 pages of instructions)
    • New Form 8965: Health Coverage Exemptions – (12 pages of instructions)
    • Form 8960: Net Investment Income Tax – (20 pages of instructions)
  • Form 1095-A: Health Insurance Marketplace Statement
    You will receive this if you or a family member enrolled in health insurance coverage through the Health Insurance Marketplace.
  • Form 1095-B: Health Coverage
    This is sent by the insurance company (or plan sponsor) and provides information that you, your spouse, and individuals you claim as dependents had qualifying health coverage (or “minimum essential coverage”) for some or all months during the year.
    Note: Insurance companies are not required to send this for tax season 2015 (tax year 2014)
  • Form 1095-C: Employer-Provided Health Insurance Offer and Coverage
    This Form 1095-C includes information about the health coverage offered to you by your employer, as well as information about the coverage, if any, your employer offered to you and your spouse and dependent(s).
    Note: Insurance companies are not required to send this for tax season 2015 (tax year 2014)


As National Taxpayer Advocate predicts, it will be “the worst tax season in thirty years.”

See IRS Publication 5187: Health Care Law: What’s New for Individuals & Families