Table of Contents
- What Is Form 1095-B: Health Coverage?
- Key Takeaways
- Understanding Form 1095-B: Health Coverage
- Shared Responsibility Payment
- State Penalties
- Important Note
- Form 1095-B vs. Form 1095-A vs. Form 1095-C
- How to File Form 1095-B: Health Coverage
- What Is IRS Form 1095-B Used For?
- What Do I Have to Do with IRS Form 1095-B?
- What's the Difference Between Forms 1095-B and 1095-C?
What Is Form 1095-B: Health Coverage?
Let me explain Form 1095-B directly: it's an IRS form you might receive if you have minimum essential health insurance coverage as defined by the Affordable Care Act (ACA). This form lists key details like your health insurance coverage, the dates it was effective, who was covered, and the provider of that coverage.
Key Takeaways
Form 1095-B includes health care coverage information for you, your spouse, and dependents if you were enrolled through an insurance provider. Under the ACA, minimum essential coverage is part of the individual mandate for health insurance. You don't need to send this form to the IRS; just check a box on your tax return to show the months you had coverage during the tax year.
Understanding Form 1095-B: Health Coverage
Form 1095-B covers health care details for you, your spouse, and dependents if enrolled through an insurance provider or self-insured employer. The ACA requires minimum essential coverage under the individual shared responsibility provision. Most employer-provided plans qualify, as do government programs like Medicare and most Medicaid plans.
Shared Responsibility Payment
Originally under the ACA, you needed minimum essential coverage each month or an exemption; without it, you faced a shared responsibility payment penalty before the 2020 plan year. The Tax Cuts and Jobs Act eliminated this federal penalty, so exemptions are no longer needed. Starting in 2019, the IRS doesn't prioritize enforcing providers to send 1095-B forms if they post a notice on their website about requesting the form and provide it within 30 days of a request.
State Penalties
Some states have their own penalties for not having health insurance all year. For instance, Massachusetts charges 50% of the lowest-cost plan you could have bought, with income-based exemptions. You should check with your state and local governments to see if such penalties apply for lacking minimum essential coverage.
Important Note
The information on Form 1095-B can help prepare your tax return, but you don't submit the form itself. Instead, check a box on your return to confirm you had minimum essential coverage for each month of the tax year.
Form 1095-B vs. Form 1095-A vs. Form 1095-C
Health insurance providers send Form 1095-B to those they cover with minimum essential coverage, showing who was covered and when. You'll get Form 1095-A if you enrolled through the health insurance marketplace. If your employer has 50 or more employees and offered or provided coverage, you might receive Form 1095-C instead of or along with 1095-B.
How to File Form 1095-B: Health Coverage
Based on your coverage source, you'll receive Form 1095-A, 1095-B, or 1095-C. You use the information from these on your federal tax return or acknowledge receipt, but don't submit the form. Just tick a box indicating your coverage duration for the tax year.
What Is IRS Form 1095-B Used For?
IRS Form 1095-B goes to those with ACA-defined minimum essential coverage, detailing the coverage, provider, dates, and covered individuals.
What Do I Have to Do with IRS Form 1095-B?
You don't send 1095-B to the IRS. Report details like coverage months on your tax return instead.
What's the Difference Between Forms 1095-B and 1095-C?
Form 1095-B comes from providers showing minimum essential coverage. Form 1095-C may come from large employers (50+ employees) with or instead of 1095-B.
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