What Is Form 1095-A?
Form 1095-A is the Health Insurance Marketplace statement. Just about anyone who enrolled in a health insurance plan through the government Marketplace will need to have a copy of the form before they file their taxes. It comes from the Marketplace and shows both you and the IRS what you paid out-of-pocket for your insurance premiums.
If you have health insurance from a private insurer outside of the Marketplace or that you receive from an employer, your coverage will be reported to the IRS on Form 1095-B (for coverage from other insurers) or Form 1095-C (for employer-sponsored coverage). Form 1095-A is only for those with Marketplace coverage.
Who Can File Form 1095-A?
You will receive Form 1095-A if you enrolled in a qualified health plan via the federal Health Insurance Marketplace or a state's exchange. The exchanges use the form to provide participants in different markets with information on their coverage.
You do not have to submit Form 1095-A itself. You have to provide information from the form or acknowledge that you have received one on the federal tax return.
If you are eligible for a premium tax credit, you may have to attach a related form, Form 8962: Premium Tax Credit.
The penalty for having no health coverage has been abolished; however, some buyers are still eligible for tax credits for buying it. As a result of the American Rescue Plan of 2021, all taxpayers with insurance bought on the ACA Marketplace are now eligible for this credit; previously, filers were ineligible if their income exceeded 400% of the federal poverty line.
You should keep Form 1095-A for your records. The form is issued, as suggested by its title, by the Health Insurance Marketplace.
What Information Is Important on Tax Form 1095-A?
You’ll use the information on your 1095-A to fill out Form 8962, Premium Tax Credit while filing your taxes. This is the form you’ll use to “reconcile your Premium Tax Credit.” That might sound scary and confusing, but don’t worry, it isn’t! You will use Form 8962 to find out if there’s any difference between the government subsidy you received (aka how much of your health insurance bill the government paid on your behalf each month) and the subsidy that you originally qualified for when you first applied for your health insurance plan.
In order to do this, you will need three key pieces of information, all found in Part III of the Form 1095-A.
- Monthly enrollment premiums: Lines 21-32 in Column A
- Monthly second lowest cost silver plan (SLCSP) premium: Lines 21-32 in Column B
- Monthly advance payment of Premium Tax Credit: Lines 21-32 in Column C
These three key pieces of information will help you reconcile your Premium Tax Credit in Part 2 of Form 8962. If you kept the Marketplace updated of any changes to your income throughout the 2020 year, you shouldn’t end up paying any additional money or receiving a refund. However, if this isn’t the case Form 8962, will help you figure out what steps to take.
How to File Form 1095-A?
When preparing your tax return, you or your tax preparer will use 1095-A to fill out Form 8962: Premium Tax Credit if you are eligible to receive the credit.
According to the IRS, if you are expecting to receive a Form 1095-A, you should wait to file your income tax return until you receive it. Because it deals with claiming or reporting of tax credits, which in turn affects the amount of income tax you owe or any refunds you are due, 1095-A is crucial in the filing process.3
Taxpayers should receive a Form 1095-A by mid-January of the year following the coverage year, either by mail or in their HealthCare.gov accounts. Individuals who don't receive their forms or see inaccuracies in them can contact HealthCare.gov directly.
The form lists each month for which you received coverage and the amount you paid in premiums. It also contains personal information including your name, address, and Social Security Number. Your policy number and insurance company name also appear on the form.
IRS Form 1095-A FAQs
Q1: Why Do I Need Form 1095-A?
You need Form 1095-A to complete IRS Form 8962 – Premium Tax Credit (PTC). This information provided on this form will help you complete your income tax return, claim premium tax credits and adjust any tax credit payments.
Q2: When you Should Receive Form 1095-A?
You should receive Form 1095-A from the Marketplace by the end of January of the tax year. If you do not receive your 1095-A by then, visit the Marketplace's website (healthcare.gov) for information on how to request a copy of your form online from the Marketplace. The IRS does not issue nor provide you a copy of your 1095-A.
Q3: How to Use Form 1095-A?
You use the information from that form to report your advance payments of the Premium Tax Credit on Form 8962. The payments are on lines 21-33 of Form 1098-A. When you prepare your tax return on eFile.com, the software will help you report your payment information in the right section based on your answers to several tax questions.
Q4: What to Do if You’re Missing Form 1095-A?
Everyone who’s supposed to have Form 1095-A should receive it by January 31. If you’ve been checking your mailbox for weeks and the form is nowhere to be found, you could free download the PDF Form on PDF Reader Pro as listed above.
Q5: What do I do if my Form 1095-A is incorrect?
It’s a good idea to contact your Marketplace if you notice any errors on your form. You'll find your Marketplace phone number in the table below. Since the document is mandatory, you might need to file an extension if you don’t have an accurate version of Form 1095-A in hand before the April tax filing deadline (which, for tax year 2020, has been extended to May 17, 2021). Just keep in mind that you will not need to attach the form to your tax return. Once you’ve used it, keep it at home with your other tax documents.
Q6: What if I already filed my tax return before I got my 1095-A, or before I got a corrected one?
You may file an amended return. For more information about filing an amended tax return, contact your tax professional, if you have one, or visit the IRS page on amended tax returns.
If you already filed your federal income tax return using information from a previous Form 1095-A sent to you, and you didn't resolve the incorrect information with the IRS, you may need to file an amended return. Visit irs.gov and enter the keywords "amended return" for more information on when to file an amended return.