If you had a Marketplace health plan in 2023 and also used advance premium tax credit (APTC) to lower your monthly premium payment, you'll have to "reconcile" when you file your federal taxes. This means you'll compare two figures:
- The amount of premium tax credit you used in advance during the year to lower your monthly premium payment; and
- The total amount of premium tax credits you actually qualified for based on your total income for the year.
Any difference between the two figures will affect your refund or amount of tax owed.
In addition, if you personally elected to use less premium tax credit during the plan year than what you were eligible for, then reconciliation is the process that connects you with those credits during tax season. If you reported your total income correctly to Pennie throughout the plan year, you are less likely to have any issues related to reconciling.
Pennie will mail or send all forms for reconciling by January 31st – you will need Form 1095-Awhen you fill out your 2023 taxes. If you don't receive this form, or something looks incorrect, please contact Pennie at 1-844-844-8040.
Follow these steps to reconcile:
- Get your Form 1095-A from Pennie.com (For those who have requested to receive their 1095-A through postal mail Pennie will send your 1095-A by January 31st)
- Print Form 8962 (PDF)and instructions (PDF).
- Use the information from your 1095-A form to complete Part II of Form 8962, using the table below as a guide.
- Follow this link to correct a return that was rejected for missing Form 8962: https://www.irs.gov/newsroom/how-to-correct-an-electronically-filed-return-rejected-for-a-missing-form-8962
For additional information see: