Working Through the ACA & Income Taxes

RENO, NV - At Jackson Hewitt Tax Services in Sparks, new posters are up this year reminding customers about Health Insurance and Taxes.

While no one who files on a yearly basis has to pay taxes this year for not *getting* insurance, that won't be the case next year.

”I think most people are concerned about the fees. Now they have heard the fine is only 95 dollars but there is real small print that says or one percent of your adjusted gross income. That could be substantial,” says Lorriane Braun with Jackson Hewitt

Braun says about one-third of the questions she gets are about the Affordable Care Act, what it means to their clients and their taxes.

Braun says once she gets the information she needs, she can call up plans through the Nevada Health Insurance Exchange, and show people what they qualify for, and if they get a subsidy.

“Able to tell you if you get a credit. You have to remember the health care insurance credit is only available through the exchange. It is not available if you get your insurance from an employer or Medicaid,” says Braun.

While her customers will have to go to a navigator and broker to actually sign up for health care insurance, if they qualify for Medicaid, she can get them signed up initially for that assistance at no charge.

Jackson Hewitt offers literature on all of this, and the free pamphlets are available at local offices throughout the Truckee Meadows.

While the deadline to sign up for insurance has been extended in Nevada for 60 days, the only way you can qualify for that extension is by trying to apply for health insurance by March 31st.

You must have documentation.

Keep in mind if you get a subsidy for health insurance, and your income changes up or down, within the year, you need to let a broker or navigator know as soon as possible.

Otherwise you could own the government money next year when you file your 2014 income taxes.