The complex world of tax forms, especially with a new form in the mix such as Form 1095-A, can be overwhelming. Nonetheless, the 1095-A is one of the essential documents for individuals enrolled in health insurance through the Marketplace (Affordable Care Act, or ACA). This guide by Syed Professional Services will cover all the information regarding what this form is, where to get it, and how to access it online if you do not know what it is.
What Is a 1095-A?
The 1095-A, also known as the Health Insurance Marketplace Statement, is a tax form provided to individuals and families who purchase health insurance through the Health Insurance Marketplace. This document contains critical information about the insurance policy, including:
Policyholder’s details
Coverage dates
Monthly premiums paid
Advance Premium Tax Credits (APTC) received
Any cost-sharing reductions
The main purpose of the 1095-A is to reconcile the premium tax credit when filing your federal tax return. It ensures that taxpayers claim the correct amount of tax credit or repay any excess credits received.
Why Is Form 1095-A Important?
This form is essential for taxpayers who:
Used Premium Tax Credits to reduce their monthly health insurance premiums.
They need to reconcile their credits and report coverage details to the IRS.
Wish to avoid tax penalties for incorrect tax credit usage.
Without the 1095-A, completing Form 8962 (Premium Tax Credit) and filing your tax return accurately would be challenging, potentially leading to delayed refunds or penalties.
Where to Get the 1095-A Form
If you enrolled in a health plan through the Health Insurance Marketplace, you should automatically receive this Form. Typically, the Marketplace sends this form via mail to the address on your account by mid-January of each tax year. However, there are situations where you might need to obtain a replacement or access it online.
How to Get the 1095-A Form Online
For those who prefer the convenience of digital access, here’s how you can retrieve your 1095-A form online:
Log into Your Marketplace Account: Visit the official HealthCare.gov website or your state’s Marketplace portal and log in with your credentials.
Navigate to the Tax Forms Section: Find the “Tax Forms” or “Documents” section in your account dashboard.
Download the 1095-A Form: Look for the tax year in question, then download the 1095-A form. Ensure you save a copy for your records.
Verify the information: Check the form for accuracy, including your name, Social Security Number (SSN), and coverage details. If any discrepancies are found, contact the Marketplace immediately.
What Should You Do if You Didn’t Receive Form 1095-A?
Missing your 1095-A form can be stressful, but here’s what you should do:
Check Your Marketplace Account: It may be available online even if you didn’t receive it by mail.
Verify Your Address: Ensure the Marketplace has your current address to avoid mail delivery issues.
Contact Marketplace Customer Service: Reach out to the Health Insurance Marketplace customer support to request a copy.
Filing Taxes with Form 1095-A
Once you have your 1095-A form, you will need it when filling out Form 8962 (Premium Tax Credit) in your tax return. Here is how to do it:
Review the 1095-A for errors or missing information.
Calculate your Premium Tax Credit (PTC) or excess credits based on the data.
Attach Form 8962 to your federal tax return along with other supporting documents.
Syed Professional Services specializes in helping individuals and families accurately file their taxes, ensuring compliance with IRS regulations while maximizing refunds.
Common Mistakes to Avoid with Form 1095-A
Ignoring the Form: Not using the 1095-A to reconcile tax credits can result in penalties.
Misreporting Information: Double-check all figures, especially monthly premiums and tax credits.
Skipping Form 8962: The IRS requires this form to validate your Premium Tax Credit.
FAQs About Form 1095-A
What should I do if the information on my 1095-A is incorrect?
Contact the Health Insurance Marketplace immediately to correct the information if you notice any errors.
Can I file my taxes without Form 1095-A?
While you can file without the form, it’s not recommended if you use Premium Tax Credits, as it may lead to penalties or delayed refunds.
Do I need to submit the 1095-A form to the IRS?
No, you don’t need to send the 1095-A itself. However, the information is used to complete and attach Form 8962 to your tax return.
What if I switched health plans mid-year?
You may receive multiple 1095-A forms if you had coverage from different plans during the year.
Is Form 1095-A the same as 1095-B or 1095-C?
No, these forms are different. The 1095-B and 1095-C are issued by employers or insurance providers, not the Marketplace.
How long should I keep the 1095-A form?
Please keep it for at least three years for tax record purposes.
Why Choose Syed Professional Services?
At Syed Professional Services, we understand the complexities of tax forms and strive to make the process seamless. Our team of professionals ensures you file your taxes accurately, avoiding penalties and maximizing your returns. With years of experience, we help you handle everything from understanding this Form to navigating IRS requirements confidently.
Conclusion
Form 1095-A plays a pivotal role in reconciling your premium tax credit and filing your taxes accurately. Whether you’re obtaining the form for the first time or seeking guidance on tax filings, Syed Professional Services is here to support you every step of the way. By following the steps outlined in this guide, you can ensure a hassle-free tax season.
For more personalized tax assistance, contact Syed Professional Services today!