Did you know that the IRS is planning to block tax returns that do not disclose information about your health insurance?
It is extremely important this year to be honest with your tax preparer and let him or her know about your health insurance. Don’t worry sharing this information is not as scary as you think it is. All your tax preparer will want to know is what months did you have insurance and what months were you not insured.
Health insurance has become a part of your tax return because of the Affordable Care Act. This doesn’t mean that you are a better person if you have insurance or that you are considered less than any other person if you don’t. All the Affordable Care Act does is it allows the government to fine you if you do not have health insurance throughout the year, or for a period greater than 3 months. Our government is currently seeking solutions to your and my problems with the Affordable Care Act. You may not necessarily see a bill in the mail, but what you will see is a reduction in your refund if you are due a refund. Or if you owe the IRS, then the amount you owe will go up by your Shared Responsibility Payment. Some think of the Shared Responsibility payment as a fine, which technically it is, but it isn’t. The ACA has made it a tax, not a fine. So take time to report your health insurance to your tax preparer. If you had health insurance for some portion of the year, then make sure to bring in your 1095-A, 1095-B, or 1095-C tax forms with you.
MD Bookkeeping & Internet Services LLC professionals are ready to help you at any time. Our professional tax preparers are at your disposal. We will gladly help you with your tax preparation.
*Don’t forget that Tuesday, April 17th is the Filing Deadline for 2017 1040 IRS Tax Returns.
Why should you report your health insurance this year on your taxes?
The IRS is not accepting returns electronically without your health insurance information. Think you can get it to the IRS by paper without having your health insurance information? Think again, the IRS may suspend your taxes pending the receipt of additional information and any refunds may be delayed. If you had health insurance for some portion of the year, then make sure you bring in your 1095-A, 1095-B, or 1095-C tax forms with you! Otherwise if you forgot you were covered for a month or two you could have a higher Shared Responsibility Payment.
If you are struggling with this, then let MD Bookkeeping & Internet Services LLC handle your tax preparation so that your tax return will go through.
Give us a call today or fill out this form for a free consultation to see how we can solve your tax preparation problems!