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Tax season is upon us, which means it’s time to get all your finances and documents in order. Since the individual mandate is still in effect, you are still required to have health insurance. If you chose to forego coverage this year, you can expect to face a tax penalty, unless you qualify for an exemption.
If you had health coverage this year, you will be receiving one of the following three tax forms:
- Form 1095-A
- Form 1095-B
- Form 1095-C
These tax forms will be sent to you either by the health insurance marketplace, your employer, directly from your health insurance company if you are enrolled in a private or individual health insurance plan.
While each of these tax forms will be used as your proof of health insurance, you do not need to submit these forms with your tax returns.
Instead, these tax forms will provide the information you need to accurately complete your taxes. You will only be required to accurately and honestly report if you have health insurance. The following is a breakdown of each 1095 form you may receive.
Form 1095-A is the tax form you will receive and use if you or your family purchased health insurance through the marketplace. While you don’t need to submit Form 1095-A with your tax returns, you will want to wait to file your taxes until you receive it, because you will need the information provided in your Form 1095-A to complete your Form 8962, which is filed for your premiums tax credit.
Your Form 1095-A will contain important information that includes how much your premium was when your plan’s effective date was, and any advanced payments or subsidies you received through the marketplace. If any major life change took place between you enrolling in your marketplace plan and filing your taxes, you will want to verify your information is accurate before filing your taxes. You may even get an updated Form 1095-A sent to you.
How To Get Form 1095-A
Your Form 1095-A should be sent to the address you used when enrolling in your plan unless you updated it during your coverage period. If you didn’t receive your Form 1095-A, you can log into your HealthCare.gov account to find it. For a step by step breakdown of how to find your Form 1095-A, you can look here.
Usually, you will receive your Form 1095-B directly from your health insurance provider, but there will be times when you receive it from government agencies or your employer. Your Form 1095-B will provide all the important information that pertains to your health coverage, which includes who is covered under the plan.
You don’t need to submit Form 1095-B with your tax returns, but you do want to hold onto the form for your records. You should also be receiving your Form 1095-B along with your Form 1095-C. While your Form 1095-C is received from your employer and provides information on coverage available to you, your Form 1095-B will typically be received from your health insurance provider and outlines your coverage details.
How To Get Form 1095-B
Your Form 1095-B will be sent from whoever provides your health insurance outside the marketplace. If it’s a government agency like Medicare, you can log into your Medicare.gov account. If you are directly enrolled in coverage through a health insurance provider, they will either send you your Form 1095-B, or you can log into your health insurance provider account. If you are insured through your employer who administers their own health insurance plans, then you will need to get your Form 1095-B from your companies HR representative.
Form 1095-C is the tax form you receive if you had coverage through your employer. It’s estimated that about 50% of the US population has health insurance through their employer since employers with over 50 employees are required to offer coverage under the Affordable Care Act.
Form 1095-C will be sent or given to you by your employer, and although you don’t need to submit Form 1095-C with your tax returns, it’s still a good idea to hold onto it for your personal records. Even if you have opted out of your employer-sponsored coverage, you should still receive your Form 1095-C because it contains important information that includes when you had or didn’t have coverage, costs associated with your plan, and who your employer was. Form 1095-C is really just a description of the coverage available to you by your employer but may be needed to accurately fill out your tax returns.
How To Get Form 1095-C
You will need to receive your Form 1095-C directly from your employer. If they don’t physically hand it to you or mail it to you, you may have access to your Form 1095-C electronically. Employers will send your Form 1095-C by the end of January, and if you haven’t received it, you will want to talk to your HR representative.