Taxpayers must reconcile marketplace advance payments and file Form 8962

Failing to file Form 8962, Premium Tax Credit, to reconcile 2019 advance payments of the premium tax credit may affect return processing, and delay the taxpayer’s refund. Taxpayers who do not file and reconcile their advanced payments may not be eligible for advanced payments of the premium tax credit in the future.

What is the premium tax credit?

The premium tax credit helps pay for health insurance coverage bought from the Health Insurance Marketplace.

Who is required to file Form 8962 to reconcile advance payments?

Taxpayers who have advanced credit payments made on their behalf, are required to file Form 8962 with their tax return.

How do taxpayers know they received advance credit payments?

Taxpayers or members of the family who enrolled in health insurance coverage for 2019 through the marketplace should receive Form 1095-A.

How does a taxpayer reconcile advanced credit payments?

Taxpayers who received advanced credit payments must file a tax return to reconcile even if they otherwise do not have to file.