If you have health insurance through the Marketplace, then chances are that you’re familiar with the 1095A form. It’s an important document that can affect your taxes and health coverage. But what exactly is a 1095A form, how does it differ from the 1095C form, and how can you file it? Let’s take a look.
What is a 1095A Form?
The 1095A is also known as the Health Insurance Marketplace Statement. This form is used to report information about any health insurance coverage you had during the year, including Marketplace coverage purchased during open enrollment periods. The form contains information such as your name, address, and Social Security number; information about your family members; information about anyone in your household who was covered by a Marketplace plan; and details on any Advance Premium Tax Credits (APTC) or cost-sharing reductions (CSR) you may have received throughout the year.
How Does It Differ From the 1095C Form?
The 1095C form is used to report employer-provided health insurance coverage for employees and their families. The biggest difference between these two forms is that the 1095C does not contain any APTC or CSR information—that will be included only on the 1095A form. Another key difference between them is that if you were offered employer-sponsored coverage but chose not to take it, your employer must still send you a copy of the 1095C form for tax filing purposes.
How Does It Affect My Return?
When filing your tax return, make sure to include both forms—the 1094B/1094C (if applicable) and the 1095A—with your return if they apply to you. Most taxpayers who purchased health insurance through a Marketplace will use IRS Form 8962 to reconcile any APTC they received throughout the year with their actual income at tax time. Depending on whether or not they received more or less APTC than they were eligible for based on their income throughout the year, taxpayers may receive either a refund or owe additional taxes when filing their return.
How Can I File It?
When filing your return on paper, make sure to include both forms in with all other documents related to your federal income tax return when sending it in for processing by mail. When filing electronically using one of several popular software programs such as TurboTax®, H&R Block®, TaxAct®, etc., make sure to upload both forms when prompted during the filing process for each program. If you are unsure its best to consult with a professional who can help walk you through the process and make sure all your tax forms are filed appropriately. If you need assistance our team is here to help Click here to Sign Up for a FREE Tax Estimate where one of our Registered Tax Professional will walk through your return with you for FREE with Zero Financial Obligation to file!
The 1095A form is an important document that can affect both your taxes and healthcare coverage throughout each year. Even though it differs from its counterpart—the 1094C—both forms should be included when filing either electronically or via paper mail so that all available deductions are taken into account while preparing returns at tax time each year. Filing correctly now can help avoid future headaches down the road!