Health Care Facts About Health Care Reform Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by TurboTaxLisa Published Jun 26, 2013 - [Updated Sep 12, 2013] 2 min read If you’re starting to hear more about health care reform or as some call it Obamacare, you’re not alone. If you have questions about health care and are not sure what to do when, TurboTax is here for you to clarify any conflicting information and give you the important facts about health care reform. What is health care reform? The Affordable Care Act, or health care reform, is designed to provide cost-effective health insurance to those who are uninsured. If you are uninsured and you are required to purchase health insurance, you can purchase health insurance in the health care marketplace beginning October 1, 2013. If you purchase your insurance in the health care market place you may be eligible for a subsidy from the government to help pay for your insurance. Here’s what you need to know right now: The requirement to purchase healthcare does not impact your 2013 tax return. Phew! You don’t need to do anything right now. But you should know that your 2012 tax return will help determine your eligibility for an insurance subsidy from the government, which will help you purchase health insurance under the health care law.. When you file your 2013 tax return you still don’t need to do anything. The requirement to purchase healthcare does not impact your 2013 tax return. Beginning in Oct. 1, 2013, uninsured Americans will be able to enroll in a health plan through online state and federal exchanges. By March 31, 2014 everyone, except for a few, will be required to purchase health insurance or face a tax penalty. There are a few groups of people who will not be required to get health care coverage or pay a penalty. This includes those with income below the IRS requirements for filing taxes, those who qualify for religious exemptions, and members of Indian tribes. Have specific questions about how this impacts you? Ask them below or get health care reform answers in our TurboTax community. Previous Post What is a Health Care Subsidy? Next Post How to Start a College Fund for Your Kids Written by Lisa Greene-Lewis Lisa has over 20 years of experience in tax preparation. Her success is attributed to being able to interpret tax laws and help clients better understand them. She has held positions as a public auditor, controller, and operations manager. Lisa has appeared on the Steve Harvey Show, the Ellen Show, and major news broadcast to break down tax laws and help taxpayers understand what tax laws mean to them. For Lisa, getting timely and accurate information out to taxpayers to help them keep more of their money is paramount. More from Lisa Greene-Lewis Follow Lisa Greene-Lewis on Twitter. 2 responses to “Facts About Health Care Reform” OK so how will the tax penalty be determined? Cause I don’t qualify for government help and the cheapest health insurance I could find is $200 a month for my family and I only make $800 a month. I can’t afford it. Reply I was fired in 2012 not entitled to unemployment had to liquidate my 401k to survive for this past year 2013 and still have not found a job. So my tax return looks like I made money when in reality I did not for 2013. How will I get insurance without having funds to cover it? Will I too be penalized for no insurance in 2013 because of my tax return for 2012 when I did have job and health insurance thru my job? Reply Leave a ReplyCancel reply Browse Related Articles Uncategorized What Is Deferred Compensation & How Is It Taxed? Investments How Does an Inherited IRA Work? Work Choosing Your Business Structure: 5 Types of Businesses… Tax Deductions and Credits Are HOA Fees Tax Deductible? What You Need to Know Crypto Understanding Crypto and Capital Gains Work 7 Things You Need to Know About the New Business Report… Work Using Form 8829 to Write-Off Business Use of Your Home Tax Tips Roth 403(b) vs. Roth IRA: Which Should You Invest In? Life Interest Rates, Inflation, and Your Taxes Investments Essential Tax Tips for Maximizing Investment Gains
OK so how will the tax penalty be determined? Cause I don’t qualify for government help and the cheapest health insurance I could find is $200 a month for my family and I only make $800 a month. I can’t afford it. Reply
I was fired in 2012 not entitled to unemployment had to liquidate my 401k to survive for this past year 2013 and still have not found a job. So my tax return looks like I made money when in reality I did not for 2013. How will I get insurance without having funds to cover it? Will I too be penalized for no insurance in 2013 because of my tax return for 2012 when I did have job and health insurance thru my job? Reply