Updates for 2014 Tax Filing
Income Limits for The Benefit Bank
The Benefit Bank income limits have stayed the same as last year. Joint tax filers must have adjusted gross income (AGI) less than or equal to $95,000. All other tax filers must have adjusted gross income (AGI) less than or equal to $65,000.Same-Sex Married Couples
As was the case in 2013, same-sex married couples will be able to use The Benefit Bank to file a joint federal tax return. Please refer to your state for information about filing a state return if you are in a same-sex marriage.Federal Tax Updates
The following summarizes the various changes that will be made to the Federal Tax program in The Benefit Bank due to updates to the tax law and new additions programmed into the service: The filing deadline is April 15, 2015.Personal Exemption Increased To:
Starting in 2014, if you get your health insurance coverage through the Health Insurance Marketplace, you may be eligible for the premium tax credit. This tax credit can help make purchasing health insurance coverage more affordable for people with moderate incomes. If you purchased insurance through the Marketplace and chose to take advanced payments, then The Benefit Bank will make the calculations necessary to reconcile the amount of advanced payments you received with your actual premium tax credit eligibility on your tax return. If you did not receive advanced payments, then The Benefit Bank will calculate your premium tax credit amount on your tax return.Health care individual responsibility payment:
Under the Affordable Care Act, you are required to have health insurance that qualifies as "minimum essential coverage" for the year. You are responsible for reporting health coverage status for you and your dependents to the IRS. If you or any of your dependents do not have minimum essential coverage (and do not qualify for an exemption), then you are responsible for paying an individual responsibility payment, which The Benefit Bank will calculate on your tax return.
The Benefit Bank will also ask you about any exemptions that you may have from owing the individual responsibility payment and will report this on the associated form.The following deductions/adjustments are expired for Tax Year 2014 (unless they are extended prior to the tax filing season):
State Tax Summary of Changes
What to expect for Tax Year 2014: Health Coverage Status and the Premium Tax Credit
The Benefit Bank online service is being updated to reflect all the changes for Tax Year 2014 related to the Affordable Care Act. TBB will:
Health Coverage Status
Under the Affordable Care Act, you are required to have health insurance that qualifies as "minimum essential coverage" for the year. Tax filers will be responsible for paying a fee on their tax return if they do not have minimum essential coverage and do not qualify for an exemption.
Premium Tax Credit
If you get health insurance coverage through the Health Insurance Marketplace, you may be eligible for the Premium Tax Credit. You can choose to receive the credit in advance, called the Advanced Premium Tax Credit (APTC), or get the credit when you file taxes.
IRS Forms used to report your health coverage and calculate the credit
1095-A Health Insurance Marketplace Statement: This reporting form will be sent to you if you or a family member is enrolled in health insurance coverage through the Health Insurance Marketplace. It will provide information you need to complete Form 8962 if you are eligible for the PTC and/or if you received the APTC.
1095-B Health Coverage: This reporting form may be sent to you if you, your spouse, or dependents had minimum essential coverage for some or all of the months during the year. This form is not required for Tax Year 2014, so you may or may not receive it.
1095-C Employer Provided Health Insurance Offer and Coverage: This reporting form may be sent to you if you are offered any health coverage by your employer, regardless of whether or not you are enrolled in it. This form is not required for Tax Year 2014, so you may or may not receive it.
TBB will ask you to report information from Form 1095-A, Form 1095-B, and Form 1095-C if you received any of these forms. The information from these forms and additional questions will determine your credit eligibility and amount and will be used to fill out Form 8962. If you did not have minimum essential coverage for any period in 2014, TBB will ask you questions to determine if you are eligible for an exemption and this will be used to fill out form 8965.
Form 8962 Premium Tax Credit: Forms part of your tax return if you are eligible for the Premium Tax Credit, regardless of whether you chose to get advanced payments or receive the credit all at once. It will be used to calculate the amount of your premium tax credit, and if you opted to receive the APTC, it will reconcile the amount that was paid on your behalf.
Form 8965 Health Coverage Exemptions: Forms part of your tax return if you have a health coverage exemption and are not required to pay the fee. It will be used to report the exemption type on your return and for whom the exemption applies.
Enroll in Health Coverage for 2015
The open enrollment period for health coverage through the Healthcare Marketplace for 2015 is from November 15, 2014 to February 15, 2015. If you do not have employer-sponsored health coverage or Medicaid/CHIP, you must enroll in a health care coverage plan in the Marketplace during this enrollment period in order to avoid paying a fee on your 2015 tax return. You may qualify for Special Enrollment periods outside of open enrollment if you experience certain events, such as a change in family status or loss of other health coverage. There is no enrollment time period for Medicaid and CHIP; you can apply for these programs at any time during the year. TBB can help you apply for Medicaid and CHIP as well as health coverage through the Marketplace.