Tax experts warn of changes from health overhaul
Tax experts are warning that being uninsured could not only be bad for your health, but it could also take a toll on your wallet this tax season.
H&R Block tax advisor David Emmerman says most Americans will fall into one of three groups this year: those who bought insurance and received a tax credit; those who receive insurance through their jobs or government support; and those who don't have insurance at all and will be subject to a penalty.
The penalty for the uninsured, Emmerman warns, could be higher than expected. It's based upon income and household size. The uninsured will have to pay 1 percent of their income or a $95 fee, whichever is higher.
Emmerman says there are a number of new tax forms this year, but there are a couple of big changes to watch out for. If your employer provides insurance, he says you'll need to check the box on line 61 on your income tax form. If you purchased your policy through the state exchange and get a subsidy, you should look out for forms 1095-A and 8962.
On Jan. 8, H&R Block branches across New York will host free tax seminars.