What happens if I owe an individual shared responsibility payment, but I cannot afford to make the payment when filing my tax return?
Article ID: 71376

Question

What happens if I owe an individual shared responsibility payment, but I cannot afford to make the payment when filing my tax return?

Answer

For calendar year 2021, the dollar amount used to determine the penalty for not maintaining minimum essential health coverage is 0 (2020 and 2019 also), per the Tax Cuts and Jobs act; for 2018 the amount was $695

 

The IRS routinely works with taxpayers who owe amounts they cannot afford to pay. The law prohibits the IRS from using liens or levies to collect any individual shared responsibility payment. However, if you owe a shared responsibility payment, the IRS may offset that liability against any tax refund that may be due to you.

 

 

related articles

What is the individual shared responsibility provision?
Who is subject to the individual shared responsibility provision?
If my income is so low that I am not required to file a federal income tax return, do I need to do anything special to claim an exemption from the individual shared responsibility provision?
If I am exempt from the shared responsibility payment, can I still be eligible for the premium tax credit?
How do I report or claim a coverage exemption on my tax return?
What do I need to do if I am required to make a payment with my tax return?
Do I have to be covered for an entire calendar month to avoid the shared responsibility payment liability for not having minimum essential coverage for that month?

Article Details

Views: 2226	Created on: Nov 10, 2015 Date updated: Nov 11, 2021
Posted in: Healthcare

Poor 1 2 3 4 5 Outstanding