MEDICAID RECIPIENTS WITH NO 1095A

Have the client verify there was no 1095-A insurance.  More often than not, they actually DID have it.  They can ask the Marketplace.  If they are young they can also ask if their parent signed them up.  If they have dependents on the return, they need to ask if anybody may have signed the dependent up for insurance (such as a parent who is not on the tax return).

If they have triple checked there is no 1095-A insurance, then you need to attach a PDF of the explanation and categorize it as "ACA Explanation".  As far as I can tell, that section within ProSeries doesn't actually do anything - you need to attach the PDF under the category "ACA Explanation".

Oh yes they do have a 1095A,  possibly there is no charge  and/or no credit, but there is a cost for their insurance that probably Dept of social services are contributing toward or paying in full.  Have them call and ask for a new copy to be mailed to them or emailed pdf.

Follow @TaxGuyBill  suggestion. If you can’t come up with a 1095-A you’ll probably have to paper file.    If 1095A is required and not provided in efile it’s an automatic reject. On receipt of paper return, IRS should make any adjustment if necessary 

a few years ago, I had a client who had applied to marketplace but got covered elsewhere before coverage took affect. We never did get a 1095A but paper filed with explanation. The return was accepted.

ACA Fraud is happening more and more. I have a client who is in this situation as well.

People are finding out they are a victim of this fraud when their return is rejected because they didn't include an 8962 with their return.

Insurance brokers get paid on commission, so rogue brokers are using stealth enrollments to generate monthly commissions. If they use the right estimates for a persons income, they qualify for zero-premium plans which makes the fraud harder to notice because no one is being billed for monthly premiums.

If you have a client in this situation, here is what they need to do:

• Contact the Marketplace at 800-318-2596. Tell the representative they received a 1095-A for a plan they never applied for or authorized. They need to use the phrase "unauthorized enrollment fraud."
• Request a Voided 1095-A. If they agree it was unauthorized, they will issue a new form showing $0.00. Once the voided 1095-A is processed, you will be able to resubmit the return for efile.
• Very Important: They need to ask if there is an active 2026 policy currently in place. If there is, they need to cancel it immediately. In 2026, there is no cap on how much of the premium tax credit that needs to be paid back, so if they don't cancel it they could be responsible for the full cost of the plan next year. Appeals to cancel coverage retroactively must generally be made within 60 days of discovering the fraud.