Q&A of the Week December 28, 2022

Question

What is the Premium Tax Credit (PTC)?

Answer

The Premium Tax Credit helps eligible taxpayers cover premiums for health insurance purchased through the Health Insurance Marketplace.

In general, you may be eligible if:

- Your household income falls below a certain range.

- You or your spouse collected unemployment compensation.

- You do not use the Married Filing Separately tax filing status (there are exceptions.)

- You are not claimed as a dependent by another taxpayer.

- You are not able to get affordable coverage through an employer-sponsored plan.

- You are not eligible for coverage through a government program (Medicaid, Medicare, CHIP, or TRICARE.)

In order to receive the PTC, you must complete Tax Form 8962 when filing your 2022 income tax return.