A Wealthier and Healthier Tax Time
The Affordable Care Act’s (ACA) launch in October brought big changes to the coming tax-filing season. This year only, health insurance enrollment under ACA will overlap with tax season. While penalties will apply in future tax seasons, this year, families can enroll in health insurance and get the coverage they need instead of a larger tax bill.
To help you integrate ACA into your EITC/CTC efforts, the RuFES Action Network offered a webinar in November 2013 featuring Elizabeth Colvin, Impact Investment Director from Foundation Communities, and Tara Straw, Senior Policy Analyst in the Health Policy Department of the Center on Budget and Policy Priorities. Both shared their organizations’ complementary efforts to link ACA, EITC and other tax preparation assistance for rural families.
Watch the Webinar
Watch the full webinar.
Watch Part I: EITC/CTC Basics, presented by Janet Topolsky, Aspen Institute Community Strategies Group
Watch Part II: The Affordable Care Act and Taxes, presented by Tara Straw, Center on Budget and Policy Priorities
Watch Part III: Integrating ACA and EITC/CTC Efforts in Central Texas, presented by Elizabeth Colvin, Foundation Communities
Download the Presentation
Download Webinar Presentation Slides
Webinar Q&A
Training:
- What do tax volunteers have to do in order to assist and advise clients on the Affordable Care Act?
- Is it only Certified Application Counselors who can help people enroll in plans?
- Can anyone be a Certified Application Counselor? There are Certified Application Counselors, Navigators, and then Champions of Coverage. What is the difference between those? What does it take to be each?
- Can the same person become a Navigator and a Certified Application Counselor?
- Can an individual not associated with a Certified Application Counselor Organization become a Certified Application Counselor? Do you have to be affiliated with an organization that has completed the application or is about to complete it?
- How long does it take for an organization to be approved to become a Certified Application Organization?
- Where do people go for the online training?
- If a VITA site doesn’t have anyone trained, could that site find a Navigator from elsewhere and invite them to assist at their site?
Permissible Guidance:
- Is it appropriate that VITA sites offer insurance advice without completely understanding health insurance?
- A librarian told me it was illegal to help people with insurance applications if you’re not a Certified Applications Counselor. Is that true?
- If you’re a Certified Application Counselor, is it inadvisable that you make recommendations regarding specific plans to clients?
Affordable Care Act and Families:
- Many non-custodial parents claim children every other year. How will the premium tax credit work in that case?
- Can a child go on and off Medicaid based on the income of the parent who is claiming exemption?
- How would a child stay on the same plan if the parents have different plans?
- At what age is an individual considered an adult (rather than a child) for the purpose of calculating the penalty for failure to have coverage?
- Is it true that if an employee has employer insurance, their spouse cannot get the premium tax credit?
- If someone decides not to buy health insurance and instead plans to pay the penalty, is it true that their penalty amount will increase over the next couple of years?
Penalties:
Premium Tax Credit:
- Is the tax premium a refundable tax credit?
- Is it true that no matter how good your marketplace health insurance plan is, you still pay the same premium amount?
- Does the premium tax credit work to reduce the amount paid by the insured on a monthly basis?
- Is it true that the premium tax credit on health insurance can only be received if you’re enrolling in a policy available through the marketplace?
Other General Questions about Health Insurance Offered through the Affordable Care Act Marketplace:
- Will doctors be allowed to decline certain insurances that pay less?
- Is there any tax benefit from the ACA for employees who take advantage of a VITA site, receive the EITC, and pay a premium towards their employer health insurance?
- Was the Medicaid expansion implemented to primarily help cover low-income single childless or “dependent-less” adults?
- If an employer is providing insurance but the employee’s premium is too high, can the individual switch to an insurance plan provided in the marketplace?
Become a Certified Application Counselor
Visit marketplace.cms.gov/training/get-training.html to complete the training today!
Additional Resources
View the EITC and CTC Resource Guide.
Get more information about the Earned Income Tax Credit:
Training Resources:
Understand the KFF Requirement to Buy Coverage under the Affordable Care Act [Kaiser Family Foundation].
Download the Insure Central Texas Info Sheet for a checklist of documents to bring when receiving tax preparation assistance and a worksheet to help consumers determine what’s most important for them in selecting an insurance plan. [Insure Central Texas].
Download the MAGI Tool for assistance in determining the Modified Adjusted Gross Income under the Affordable Care Act [UC Berkeley Labor Center].
Download this Guide for Self-Employed Taxpayers and Independent Contractors to assist in calculating total income and expenses for the year.
Rural Family Economic Success Action Network 