I have a tax return that has to pay back $20,000 in Premium Tax Credit. Is there anything I can do to help them.

[s-gibbens]

They received a social security back pay and pension back pay.

[abctax55 · Accepted solution]

Do they have ANY earned income so they can contribute to retirement plans?

OR contribute to an HSA (if they could even qualify...but that doesn't sound likely).

All you can do is look at ANY way to reduce their AGI.

[Just-Lisa-Now-]

If that lump sum SS is for prior years, youre using the SS Lump Sum worksheet?  May be able to reduce some of the taxable SS income.

[abctax55]

You can *try* to soften the blow by pointing out there's no penalty, and they've had the use of the money the whole time.  

[bent]

I have the same issue but with smaller credit repayment.  I can't find anything that indicates that if you do the calculation and spread the back payment to prior years it will reduce the modified adjusted gross income for the Affordable Care Act.