Are you ready?! Tax Season 2018 is approaching. Your tax office is getting prepped and ready. It is clear- you will not be able to skip the health coverage question come 2018 Tax Season.
Every tax season is fraught with uncertainty and change. Next tax season will be no different and the change: ☐ The Health Coverage checkmark question cannot be skipped.
What has changed:
- Last tax season a failure to indicate whether health coverage was met simply imposed a penalty, and your tax return was still able to process.
- Next tax season come 2018, your tax return will not process! Failure to indicate health coverage will reject all tax returns that are being electronically filed and paper-mailed.
📝 Steps you must take:
- Ensure that you print out your 1095-A statement (if you have the Affordable Care Act, ie Obamacare). If you are covered by your employer, be sure to obtain your 1095-C/B statement(s).
- Bring these statement(s) with you to your tax-filing appointment.
- If you did not have health coverage this year, be prepared to inform us at the tax office and save for your shared responsibility payment that will be assessed based on your earnings.
Again, to avoid refund and processing rejection, you will need to indicate whether or not you and your family had health coverage the prior year and bring the appropriate documentation. If you did not have health care, be prepared to make the shared responsibility payment.
📧 Spread the word within your community and link back to this article for those who require additional information. Stay in the know with PAS News & Client Announcements.
🔗 Linked below are additional resources on the new requirement and the original articles cited.
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Tax Pro Today – Oct. 17th, 2017: https://www.accountingtoday.com/news/irs-wont-accept-tax-returns-next-year-without-health-coverage
IRS Resource ~ Individual Shared Responsibility Provision
Professional Administrative Services 