Affordable Care Act and Taxes: Healthcare Coverage Deadline

We’ve talked a lot about the Affordable Care Act since last year—boy how time flies— and now the deadline for coverage in 2014 is upon us. March 31st marks the date Americans are required to have health insurance, or they could face a tax penalty when they file in 2015.

So here’s what you need to know in these final days:

  • There’s a Tax Penalty for not having health coverage -- and it may be almost 1% of your income. The IRS could take that money out of your refund next year.
  • Signing up for health coverage can stop the penalty and help you keep more of your refund next year. For some people, coverage may be free or low cost.
  • You might qualify for a tax credit to help pay your premiums.

Sounds good, but now what? Your local Jackson Hewitt office can help. When you have your taxes prepared at Jackson Hewitt, we can help you figure out what you qualify for at no additional cost.  It only takes about five minutes. Plus, once we help you find out your options, you can decide later whether to sign up (but don’t wait too long as the deadline steadily approaches).

There are some special exemptions from the tax penalty, which your local Jackson Hewitt office can also help you understand.