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Tax Tales: How One Taxpayer Navigated Moving from State to State, the ACA and Taxes

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Tax year 2014 marked the first year when the majority of Americans were required to have health insurance and then report their insurance status on their tax returns when they filed in 2015. For most Americans, the process of reporting health insurance was as easy as checking a box. But many others had more complicated circumstances to navigate. We sat down with one of our customers, Jordan Wood, who moved around last year and had coverage through two different state exchanges. Here’s what Jordan had to say about his experience:

TurboTax: Jordan, tell us a little about yourself.

Jordan: I grew up in Maine, went to college in Michigan, and started working in politics when I was a freshman. After graduation, I moved around quite a bit to work on various political campaigns: from Chicago to Washington DC and back, then all the way to Southern California, where I live now. With how often I have had to move, it feels like I have been having to change my health insurance all the time.

TT: Yes, let’s talk about your health insurance. Were you covered during all of your moves?

J: Yes, I maintained insurance through the entire process — for all of 2014. I was working on The Hill in January 2014, after the government implemented the ACA requirements. We had to go on the DC exchange and they gave us a stipend for our coverage. Then in February, I moved to Illinois and had to go on the Illinois exchange.

TT: Did you apply or qualify for a subsidy or an advanced premium tax credit?

J: No, I didn’t qualify because I made too much money to meet the requirements.

TT: Was it challenging to find an affordable plan then?

J: The process was really easy for me, I just made too much above the limit to qualify for any tax credits. But the health insurance was priced so low — my stipend covered everything.

TT: Moving involves a lot of change as it is. How did it affect your health insurance coverage?

J: I never had a lapse in coverage, but I did have to enroll in different state exchanges each time I moved. I moved to DC in January 2014, and was booted from the Illinois exchange so I had to get on the DC exchange. Every time I moved I had to get new insurance. It was not difficult to do.

TT: Let’s talk about your taxes now. What’s been your history with filing taxes?

J: My parents used to handle it, but they made me do it for the first time myself for tax year 2013. I started using TurboTax then, and it was super easy! Still is. The biggest hassle this year was in filing in multiple states, but with TurboTax I didn’t have any problems.

TT: As you know, this was the first year when you, like the rest of Americans, had to report your health insurance status when you filed your taxes. What was your experience like?

J: It actually wasn’t daunting. I was curious how it would work out, since I was filing in two different states. And with the ACA, I just wanted to make sure that it would all work out. Again, TurboTax was really helpful and easy. I had my form ready (1095-A), and just had to enter in the information on it. It was nice to see that I wasn’t charged anything extra on TurboTax. No penalty or anything!

TT: So, did you get a refund?

J: I did get a refund of about $400. I used it to help fund my Coachella trip this year!

If you have more questions about the Affordable Care Act and how it impacts you, TurboTax has you covered.  You can get answers to your questions at TurboTax Health.

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