Time for a Mid-Year Premium Tax Credit Checkup
If you have insurance through the Health Insurance Marketplace, you may be getting advance payments of the premium tax credit which are paid directly to your insurance company to lower your monthly out-of-pocket cost for insurance. These advance payments are determined when you sign up for insurance through the Marketplace and are based on income estimates. If your income circumstances have changed since the beginning of the year, you may be required to pay back those advance payments next April during tax time. No one likes surprises, so if this fact pattern sounds familiar, you will want to contact the Marketplace to report these changes to them. Here is a link to a IRS Tax Tip that gives further information.
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