If you currently get a tax credit, later this year the government will determine the amount of your 2019 “advance premium tax credit,” and you’ll renew into your 2019 health plan.
If you have taken the steps the government requires, you will be automatically enrolled in your new 2019 health plan and, if you are still eligible, your tax credit will start automatically January 1.
Read more about the steps you should take and the things you should check for to make sure nothing disrupts your coverage.
Your 2017 tax return affects your 2019 tax credit
If you received a tax credit in 2018, but didn’t file your 2017 taxes, it’s very important that you act now and get them filed. Otherwise, you will lose your tax credit starting January 1, 2018—and you'll have to pay the entire cost of your new 2019 health plan out of your pocket. Timing is also important. Depending on when you file your 2017 taxes, a tax credit may or may not be automatically available to you when your new health plan starts on January 1, 2019.
The government Marketplace needs permission to look at your tax return
As part of their automated renewal process, the government needs to be able to see your tax information to decide if you qualify for a 2019 tax credit and for how much.
There could be an inconsistency in your enrollment information
If this happens, you will receive a letter from the government asking you to provide more information about things like your income or your citizenship status. There is a risk of losing your tax credit or possibly your health plan if you ignore their request.
Other reasons your tax credit may change
Each year the amount you qualify for can change. The amount of your tax credit is based on the combination of several things: your most recent household income available to the Marketplace, the cost of plans available to you in your area, and the government’s Federal Poverty Level (FPL) income tables.
The Marketplace uses your verified household income from the most recent of:
- your most recent Marketplace application
- your 2017 tax return information, or
- your 2018 Marketplace application
If one of things listed above could affect your tax credit amount, we strongly encourage you to let us help you renew your Marketplace tax credit application to make sure you have done everything you need to do to get all the financial assistance you deserve. We have experts waiting to help, and our service is at no cost to you.
And whether you qualify for a tax credit or not, if you want to talk about other health plan options, we’re here for you. Call your local insurance agent, stop by a Florida Blue Center or call us at (866) 517-4396.