Tax Procrastinators Could Lose Obamacare Subsidies
Time is running out for late taxpayers who want to keep their subsidies next year.
Technically, the health insurance subsidies available to most Americans who aren't offered plans by their employers are tax credits. If you enter your income into Healthcare.gov, it spits out an amount that you can chose to apply to a monthly premium, or deduct from your taxes when you file. Either way, you must file an income tax return, including a new form detailing your monthly premium and subsidy.
At the beginning of the summer, the IRS estimated that 1.8 million households were at risk of losing subsidies, as NBC News reports.
Tardy Tax Filers Risk Losing Health Insurance Subsidies By funneling dollars through the income tax system, Democrats were able to call the overhaul the largest middle-class tax cut for health care in history. But in doing so, they also spliced together two really complicated areas: health insurance and taxes.