While the Affordable Care Act was aimed at helping more Americans secure health insurance, the legislation also implemented tax penalties for remaining uninsured during the previous year. If you or your family were uninsured for all or a portion of 2014, you might find yourself getting hit with some of those IRS penalties. Individuals who did not have health insurance through a government-sponsored, employer-sponsored, or individually purchased plan for more than three months out of the calendar year are likely to be affected. Luckily, Taxation Solutions, Inc. is available to guide you through tax season, helping you determine what tax penalties you owe and avoid similar issues in the future.
Penalties for lack of health insurance can be calculated in one of two ways:
- A flat dollar amount, based on the number of individuals and number of months uninsured
- A percentage of your total income
There are many variables that will affect what you owe, from the circumstances that led to your not being fully insured to the number of dependents who were also uninsured. At Taxation Solutions, Inc., we’ll determine your total liability and, if the amount is more than you’re able to afford all at once, negotiate any necessary tax settlements to help you pay. In our more than 40 years in the tax help industry, we’ve seen so much legislation come and go. We know how to quickly and accurately assess how the Affordable Care Act—or any other new tax laws—will affect you. Call today!