What is the Affordable Care Act, and how does it affect me?

The Patient Protection and Affordable Care Act (ACA) is a federal law signed by the President in 2010. The law expands access to health insurance and creates a requirement to maintain coverage. As of tax year 2019, there is no longer a federal penalty for being uninsured. Beginning in 2015, taxpayers will be responsible for the following during tax time:

  • Reporting health coverage, or lack of coverage, for all members of the household
  • Determining if a state penalty applies if taxpayer is uninsured (AZ does not have a penalty)
  • Reconciling Advance Premium Tax Credits (APTC)
  • Claiming Premium Tax Credits (PTC) not claimed in advance

When having your taxes prepared, you may need to bring additional documentation to aid in the preparation of your return. VITA assists taxpayers with all tax time responsibilities related to the Affordable Care Act at no cost.