Form 8962 TurboTax: What It Is And How To Get It In TurboTax?

The premium tax credit came into existence after the Affordable Care Act, which was introduced in 2009. However, to claim or get this refundable tax credit, there are a few requirements that you need to meet. In addition, you need to file Form 8962 with the tax return.

But the question is, what is Tax Form 8962? Well, in simple terms, it is a form that reports details regarding claiming an offset to the price of buying health insurance via the national Health Insurance Marketplace. TurboTax can help you file form 8962 so that you can lower the premiums for your health insurance or get the full credit when you file the tax return.

However, before we jump into how to get or add Form 8962 on TurboTax, let’s explore a bit about Form 8962 TurboTax and why it is vital to file it.

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Understanding What Is Form 8962 TurboTax

Suppose you buy health insurance from Healthcare.gov or the health insurance marketplace and reside in a state where you need to maintain one. In that case, you will have to use Tax Form 8962. In addition, this form has two parts that you need to fill out:

Determining the eligibility for the credit
Claiming or Getting the premium tax credit

Furthermore, you can use Form 8962 to reconcile your premium tax credit that you may be eligible for. And this is possible with the advanced premium tax credit payment you have received already.

The initial part of this form figures out your monthly and annual contribution amount, depending on your tax family size and family income. You and your spouse are usually part of the tax family. Also, it is quite essential that you include the income of your family as well as of your household.

Enter all the information, as it will help you learn about your applicable federal poverty level. From this data, you can now determine the credit amount you’re eligible to claim. In addition, you generally have two choices for how you want to claim it:

A credit to lower your taxes on the return
A credit to lower your monthly payments on the health insurance premiums

Suppose you select the monthly payments. In that case, the government will pay your insurer over the year, ultimately lowering your cost of monthly premiums.

If you decide to buy health insurance from the marketplace, you must provide information regarding your income and family size to determine your eligibility for the premium tax credit. While you are at it, chances are you’ll experience changes in income, which may not match what you expected when filling out the marketplace form.

Importance Of IRS Form 8962 And Why You Need To Fill It

Now, while we are discussing Form 8962, learning about its importance is also something you should know about. If you have paid health insurance premiums on ACA (Affordable Care Act) insurance plans in the last year, there are good chances you might be eligible to claim some amount back with the PTC (Premium Tax Credit).

Mostly, to get this claim, you’ll at least need to be enrolled in the health insurance plan for a one-month period. In addition, to get the PTC, one’s household income must be lower than four times the federal poverty line.

Now, talking about when you need to file Form 8962, know that PTC will not issue it automatically. Therefore, you must file this form when you file the tax Form 1040-NR or 1040. Form 8962 helps you calculate your eligibility for how much PTC you can claim. And it may also help increase your tax refund. So, when you file Form 8962, ensure to enter accurate information.

Can Turbotax Prepare A Form 8962 For You?

Yes, you can use TurboTax to complete or prepare Form 8962 – PTC for you. However, in order to do that, you need to enter the 1095-A form that you have received into your return. Being a tax preparation software, TurboTax can help you calculate Form 8962.

Here are some steps to complete the process:

Firstly, head to the “Search box” present at the top right screen of your software.

Next, enter 1095-a and tap on the magnifying glass icon.

Then, you’ll find “Jump to 1095-a” in the search results.

Now, tap on the link, and it will direct you to the form entry screen.

After that, click on the “Tax Tools” button from the bottom left side screen.

Moreover, tap on the “Print Center” icon.

Finally, hit the “Print, save or preview this year’s return” tab.

How To Get Form 8962 In TurboTax?

TurboTax can automatically fill Form 8962 if you have finished entering Form 1095-A. In order to get Form 8962, there are some criteria to it, which we have already discussed. In addition, you need to include this form with your return if:

You qualify for the PTC for the tax year.

You or a person on your tax return gets advance payments of the PTC.

Your family member gets advance payments of the PTC, even when you did not include the person on the tax return.

Remember that credit eligibility is only for individuals that are part of qualified health plans via the state marketplace or Healthcare.gov.

How To Add Form 8962 On TurboTax?

Have you got a letter from the IRS in which they ask for Form 8962 or Form 1095-A? If yes, make sure to confirm which tax year the letter references. In addition, you only have to provide the information for what the IRS asked in the letter.

As you purchased health insurance through a state marketplace or Healthcare.gov, you must include Form 8962, PTC, in your return. Well, worry not, as you can complete this form using TurboTax. Furthermore, there is no need to submit an amendment; you can simply print them and return the forms mentioned in the IRS letter.

Follow these steps to add Form 8962 on TurboTax:

Firstly, sign in to your TurboTax account.

Next, tap on the “Tax Home” icon present in the upper left.

Then, scroll down to the “Your Returns and Documents” section.

After that, if no options appear under that heading, tap on the “Show” icon on the right.

Also, confirm whether the correct year appears underlined in blue color.

Moreover, choose the “Amend (change) return option. Then, select the “Amend Using TurboTax Online” option.

Ensure you don’t click “Pick up where you left off” when you’re at the Amend section. Just head to the left menu.

Next, tap on the “Federal” option.

Then, click the “Health Insurance” button at the top.

Make sure to answer all the questions correctly about your health coverage.

After that, select the “Yes” option and enter your 1095-A form. This will now generate an 8962 form.

Now, tap on “Done with Health.”

Next, from the left menu, click on “Tax Tools.”

Then, tap on the “Print Center” button.

After that, select “print, save, or preview this year’s return” and tap on the box in order to choose federal returns.

Now, tap on “View or Print Forms” so you can print the forms you require.

You’ll be able to view all the forms, and you can simply select the pages that have Form 8962 and Form 1040A or 1040, which you need to print.

Finally, tap the download arrow in the upper left corner and print the specific pages from this downloaded PDF. You can also tap the printer icon to print directly from the PDF.

Here are the forms you have to mail to the IRS address, which will be available in your letter.

Form 8962, PTC

A copy of Form 1095-A, Health Insurance Marketplace Statement

A copy of your received IRS letter

One copy of Form 1040A or 1040 if the letter mentions them. However, ensure to date and sign Page two of Form 1040A or 1040.

Can You File Form 8962 For 2019 Via TurboTax Deluxe Online?

Yes, you can file Form 8962, PTC, for 2019 using TurboTax Online. However, you need to enter your Form 1095-A, which comes with your health care coverage, in order to generate this form.

Here are the steps to enter the Form 1095-A:

Firstly, tap on “Federal Taxes” (the individual using business and home).

Next, tap on “Deductions and Credits.”

Then, tap on the “I’ll choose what I work on” text if shown.

After that, scroll down to “Medical.”

Now, on ACA (Affordable Care Act) Form 1095-A, tap on the start or update button.

Or, type in 1095-a in the search box, present in the upper right corner.

Finally, tap on the “Jump to 1095-a” option.

Entering 1095-A is enough to generate Form 8962. If you want to print Form 8962, you can print it using “Print Center,” but you must be logged into your account.

Here are the steps to print your Form 8962:

Firstly, tap on the “Tax Tools” option.

Next, select the “Print Center” tab.

Then, select “Print, save, or preview this year’s return.”

Finally, choose Form 8962 and hit the print button.

Conclusion

Filing form 8962 TurboTax is essential as it helps you claim back some amount you have spent on your healthcare premiums. You can file Form 8962 with TurboTax, which is one of the best tax preparation software. Don’t let these claims go away, and file your form today using TurboTax.

Are you facing any problems while filing Form 8962 using TurboTax? Well, worry not, as MWJ Consultancy offers the best support for all kinds of errors in TurboTax software. You can contact us at +1 877 469 0298 or info@mwjconsultancy.com, and our professional staff will provide you with support for the issue.