By: Lanetra Bennett
October 13, 2015
TALLAHASSEE, Fla. -- Nearly two million people nationwide have not filed the tax forms necessary to keep their market place health insurance.
The deadline is October 15th.
Tallahassee resident Wallace Hinson knew the deadline to keep his affordable health care premiums. He said, "Oh yeah, I filed an extension. They called me and told me."
Yet, he never filled out the proper form. "Because I felt like, if I didn't owe them anything I didn't have to worry about that." Hinson said.
He now knows that's not the case. Anyone who has the Advanced Premium Tax Credit must file a 1095-A form. The deadline to do that is October 15th. The credit is for those using marketplace health insurance. An amount is paid to the person's health care provider so they don't have to pay the entire premium.
The credit comes in the form of a refund with their taxes. Although, some people may owe money.
Hinson said, "When you start itemizing, even though I'm paying for a home and all, it still makes a difference. You got to go ahead and file the necessary documents to keep yourself out of trouble."
This year, tax professionals say the federal penalty for not having health insurance was $95 or one percent of your taxable income. Next year, they say that amount is mostly likely going to be around $200 or two-percent of taxable income.
Kimberly Munt, Senior Tax Advisor at H&R Block in Tallahassee, said, "It is tough, and the economy is getting tougher by the day. So, what seemed to be a small penalty for 2014 is going to increase dramatically for 2015.
Munt says people should've gotten their 1095-A form when they received their W-2 form. If you do not have one, call your tax preparer.
Open enrollment for health insurance is November 1st.