Form 8962 - repayment of entire advance premium tax credit

[BLKCPAPA]

Proseries will not show the advance premium tax credit on lines 27 and 29 of Form 8962 and won't let me override it where line 5 shows 2019 income 401% above the poverty line and box 6 is checked Yes. If I override the repayment on Line 29 of Schedule 2, it says that I won't be able to efile.  The entire advance payment must be repaid but program is not working. Help!

[chasetax]

some details might help-but do you have an entry on line 2b on Form 8962?

[Just-Lisa-Now- · Accepted solution]

Is the 8962 not filling it at all automatically?

Be sure the boxes near the bottom of the fed info worksheet are marked whether the TP/SP can be claimed a dependent 

[IRonMaN]

[chasetax]

my 8962 shows 401% on line 5, then lines 27 and 29 show $7,128(wow), this is then carried to schedule 2 - line 2 and then added to tax on line 12b of form 1040

[BLKCPAPA]

Line 1 shows 1, Line 2a and 3 show MAGI.  Line 4 shows 12,140, Line 5 shows 401%.  Line 6 is checked yes. Line 11e and 25 shows the entire advance PTC.  Lines 24, 26, 27, 28, and 29 are balnk and won't let me override the Advance PTC

[BLKCPAPA]

Thank you. The dependent question must have caused the problem with Form 8962.

[kaseyCPA]

No Lisa, already had that checked. I am having the exact same problem. Lady earned $15K, and has a kid, filing HOH and paid $12K to the Marketplace. The entire amount (sans $200) should be refunded. I tried this in ProSeries Basic and Pro. No luck.

[BLKCPAPA]

That sounds like the opposite problem. Mine made too much money and had to repay the entire subsidy.  The check box on the information worksheet regarding being claimed as a dependent needed to be checked for the Form to calculate correctly.  Just make sure you don't see an error code for anything seemingly unrelated.

[kaseyCPA]

Tried and tried - deleted the returns, and re-entered.

Unless earning $15K in dividends and cap gains alleviates the credit?!

[Just-Lisa-Now-]

the only income she has is the divs and cap gains?

Look at the 8962 and follow the math....where does it go wrong?

[Just-Lisa-Now-]

@TaxGuyBill  Im sure you understand what the issue is here!  You know this stuff backwards and forwards.

[TaxGuyBill]

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@kaseyCPA wrote:

Lady earned $15K, and has a kid, 

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It sounds like Advance credit (column C of the 1095-A) was NOT paid, right?

Assuming that is the case, your client does not qualify.  Their income is too LOW.  They are below 100% of the Federal Poverty Level, which disqualifies the Premium Tax Credit.

[kaseyCPA]

I actually had to go to another site to get the Silver Premium credit amount, as it was not on the 1095-A. Once I had that figure, the PTC calculated properly.

https://www.healthcare.gov/help/need-to-use-tool/

[TaxGuyBill]

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@kaseyCPA wrote:

I actually had to go to another site to get the Silver Premium credit amount, as it was not on the 1095-A. Once I had that figure, the PTC calculated properly.

https://www.healthcare.gov/help/need-to-use-tool/

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While you definitely need that, there is still a problem as I told you above.  At $15,000 for a household size of two people, they do NOT qualify for the credit if no Advance credit was taken.  Their income is too LOW.

[JOHND]

I AM TOTALLY LOST ON YHIS FORM-MY CLIENT  DID NOT GIVE ME FORM 1095-A WHEN WE FILED HIS 1040  AND IRS WANTS TO KNOW WTF & SO DO I-

[Just-Lisa-Now-]

The client needs to contact healthcare.gov (you CANNOT do this for them) and get the 1095A sent to them so that you can enter it in the software and generate the 8962 for IRS.

[qbteachmt]

The client can get it from their log in; they don't need to have it sent.