IRS Form 8962 walkthrough (Premium Tax Credit)

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  • Опубліковано 5 вер 2024
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    EDITOR'S NOTE: It was pointed out to me that I said, "Subtract B from C," when referring to the column entries in Part II. This should be, "Subtract C from B," instead.
    Please feel free to check out our article, where we've written step by step instructions to help you walk through this tax form! www.teachmeper...
    If you’re looking for tutorials for other IRS Forms that you can file directly through the IRS website, check out our free fillable forms page: www.teachmeper...
    Here are links to articles and videos we've created about other tax forms and schedules mentioned in this video or its accompanying article:
    IRS Form 8814, Parent’s Election to Report Child’s Interest and Dividends
    Article: www.teachmeper...
    Video: • IRS Form 8814 walkthrough
    IRS Form 2555, Foreign Earned Income
    Article: www.teachmeper...
    IRS Schedule 2, Additional Taxes
    Article: www.teachmeper...
    Video: • IRS Schedule 2 walkthr...
    IRS Schedule 3, Additional Credits & Payments
    Article: www.teachmeper...
    Video: • IRS Schedule 3 walkthr...

КОМЕНТАРІ • 28

  • @krslavin
    @krslavin 5 місяців тому +3

    Excellent help - thank you! This form is a nightmare, particularly if you attempt to read the instructions.
    If then do this else do that!

  • @marksnyder8901
    @marksnyder8901 3 дні тому

    VERY HELPFUL ! THANKS SO MUCH !!!

  • @Azadum
    @Azadum 4 місяці тому +1

    This was very, very helpful. Thank you!

  • @marinagritsaeva9864
    @marinagritsaeva9864 5 місяців тому +1

    Thank you for your great video explanations.

  • @user-fk2tu3fn9e
    @user-fk2tu3fn9e 6 місяців тому

    Hi if have an employee who was my babysitter and worked all year round. I paid her $9870 in cash total for the year but I did not give her 1099 or W2 nor did I withhold any taxes. She just told me that she filed her taxes and placed that income in HouseHold Employee on the 1040, which form do I have to do now to avoid problems or fines with the IRS. Please help

  • @VlogLand1
    @VlogLand1 3 місяці тому +1

    Hello! Sorry, I just got letter from IRS that my 8962 form part 4 is not complete and I need to send it to them again to get my tax refund, but I don't know how can I fix it?!

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  3 місяці тому +2

      I'm not sure that I can help you with this, since I can't see your Form 8962. However, if you're having to complete Part IV, then you probably need to make sure that it matches up with the information being reported by the other taxpayer(s) that you're allocating your policy or policies with. I would also double-check the instructions on Line 1 or Line 9 to see if you have to complete Part IV in the first place.
      Finally, if the letter contains a contact phone number for the IRS, I would consider giving them a call to discuss your form in more specific detail.

    • @VlogLand1
      @VlogLand1 3 місяці тому

      @@teachmepersonalfinance2169 Is it possible to send my 1095 and form 8962 to you?

  • @bleacherz7503
    @bleacherz7503 Місяць тому

    Do you need to file an amended return or just the form ?

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  Місяць тому +1

      You don't need to file an amended return, as you would normally complete IRS Form 8962 as part of your normal tax return. However, you *can* use this form, along with IRS Form 1040-X if you need to amend your tax return to account for the PTC. Below are links to an article and video on IRS Form 1040-X.
      IRS Form 1040-X, Amended U.S. Individual Income Tax Return
      Article: www.teachmepersonalfinance.com/irs-form-1040-x-instructions/
      Video: ua-cam.com/video/4WjwzGOL0kc/v-deo.html

  • @AChosenVessel1
    @AChosenVessel1 2 місяці тому

    I carry my grandson on my taxes but my daughter has him on her marketplace. Whats the proper way to do the calculation for me?

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  2 місяці тому

      If your daughter claimed your grandson on her Form 8962, then I don't think you can as well. However, if your daughter agrees, then you can claim a 100% allocation from her 1095-A as follows:
      If 100% of the policy amounts are allocated to you, check “Yes” on line 9 and complete Part IV by entering 100 in the appropriate box(es) for your allocation percentage.

  • @HeckticSquare348
    @HeckticSquare348 4 місяці тому

    What if you are single with no dependents.. which one would I check for part 2 on 8962 forms, and would I still have to allocate the percentages on part 4.. somebody pls help

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  4 місяці тому

      For Part II, if you were single all year, with no dependents, then it seems that you would check 'No' for Line 9, then answer 'Yes' or 'No' to Line 10. If your situation is less straightforward (i.e. you were divorced during the year or you had a dependent at some point), then you may need to refer to the tables in the IRS instructions for further guidance.
      If you were enrolled in a qualified health plan all year, you can check yes, then skip down to Line 24. If not, you'd have to complete the monthly calculation lines (Lines 12-23).
      For Part IV, if you checked 'No' for Line 9, it does not appear that you need to complete Part IV.

  • @TheStinalee201120
    @TheStinalee201120 5 місяців тому

    Do you have to put your name as last name first then first name?

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  5 місяців тому

      The instructions state to enter your name exactly as it appears on your tax return. Generally, this means last name, first name, middle initial (if applicable).

  • @jpaulsen4622
    @jpaulsen4622 2 місяці тому

    If my parent is claiming 100% of the APTC for me and I am not a member of their tax family, do I put 0 on line 1, check yes on line 9, put 0 on line 30 and then skip the rest of the form?

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  2 місяці тому

      You can do this. However, I would offer this point of caution. From the form instructions, here is one of the prerequisites for being able to claim the PTC in the first place:
      -An individual in your tax family was enrolled in one or more qualified health plans offered through the Marketplace on the first day of the month.
      So if you're not part of their tax family, their part of the credit might be disallowed.

    • @jpaulsen4622
      @jpaulsen4622 2 місяці тому

      I was enrolled in a plan on the marketplace only for the month of January through my parents. I was then offered insurance through my employer and was removed from the plan. I also got married in 2023 and filed married jointly. I'll be attaching the 1095a that my parents received. Would this still be the proper way to file the form?

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  2 місяці тому

      @@jpaulsen4622 I'm not sure why you're filing this form. If you received the Form 1095-A, and decided to allocate 100% of the PTC to your parents, then I would understand filing it, so that you can allocate it properly. But if your parents received the Form 1095-A (and not you), then I'm not sure that you need to file this form, unless you received the advance PTC payment.
      Is there a specific reason that we haven't discussed about why you're filing Form 8962?

    • @jpaulsen4622
      @jpaulsen4622 2 місяці тому

      @@teachmepersonalfinance2169 When I tried to e-file my return, it got denied because I was on another taxpayers marketplace health plan (my parents) so I had to paper file. Then I got a letter from the IRS saying to send a 1095-A with 8962. (I had already filed 8962 with our original return. It was filled out how I described in my first question above) . I was on their plan and premium tax credit was received for me for the month of January. But they already had to pay back some of the credit on their return. I just don't know if I filled out the 8962 correctly the first time and if not, how do I fix it?. Hope that helps.

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  2 місяці тому

      @@jpaulsen4622 Got it. Now I understand your tax situation a little more clearly.
      If you're responding to IRS correspondence stating that you need to refile with Form 1095-A, it's because when you file Form 8962, you *must* also include Form 1095-A. I'm not sure that you would have needed to do so had you left it off your original return.
      You may simply find that including your parents' Form 1095-A with your tax return (and Form 8962 completed as outlined above) would suffice. In other words, I don't think you completed Form 8962 incorrectly, but the IRS requires you to include Form 1095-A with your return.

  • @JordanValderrama-mb6tp
    @JordanValderrama-mb6tp 4 місяці тому

    What if line 24 is zero and line 25 is 831

    • @teachmepersonalfinance2169
      @teachmepersonalfinance2169  4 місяці тому

      Line 24 is the amount of premium tax credit that you're allowed for the tax year. Line 25 is the amount of advance premium tax credit that you've already taken.
      So if Line 24 is 0, but you've already received $831 in premium tax credit, then you'll need to pay that back. You might want to go back to make sure that your prior calculations are correct.

  • @sylviaq2201
    @sylviaq2201 4 місяці тому

    It’s subtract C from B, not B FROM C