This past summer, if you purchased health coverage from the Marketplace, you may have received a letter from the IRS showing that advance payments of the premium tax credit were paid. At the time, the IRS had no recollection whether the taxpayer filed a tax return in 2014.
Details about these letters and the actions you should take are as follows:
- IRS letters 5591, 5591A, or 5596 remind you of how important it is to file your federal tax return along with Form 8962, Premium Tax Credit (PTC).
- To retain your eligibility for future tax assistance you must file a tax return to reconcile any advance credit payments that you have received.
- You will not be eligible for advance payments of the premium tax credit in 2016 if you do not file a federal tax return.
- You should file your tax return as soon as possible even if you requested an extension to Oct. 15.
- You will not qualify for any Advanced Premium Tax Credit from the Marketplace in 2016 until you file a 2014 tax return.
- Form 1095-A provides the information you need to complete Form 8962. If you purchased health insurance from the Marketplace, you should have received Form 1095-A, Health Insurance Marketplace Statement.
- If you have any questions or concerns about the Health Insurance Marketplace Statement, Form 1095-A, contact your Marketplace.
- You do not have to contact the IRS regarding these letters or file another tax return if you have completed the process of filing your 2014 tax return with Form 8962.
- E-file: If your tax return was filed electronically, it takes three weeks to be processed.
- Mail: If you mailed your tax return, it will take six weeks. Depending on the circumstance, processing times will vary.
- To make the process smoother, follow all instructions on any IRS letters that you receive.
Your health insurance company may also send you a reminder to file Form 8962 along with your tax return. Even if you have not received advance credit payments, your health insurance company may contact you. There are no requirements to file a tax return if you or anyone on your return have not received any advance credit payments.
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