Tag: IRS

Penalties are coming for those without health insurance

Nordstrom
Online Health Insurance

Lack of insurance coverage is becoming an expensive problem Those that do not have health insurance may be surprised to find themselves with fines levied against them by the federal government after they file taxes. This year, those filing taxes must inform the Internal Revenue Service of their insurance status. Those without coverage will face a fine, while those with coverage will not. The average fine for those that have not had coverage over the past year will be $95, or 1% of a household income, whichever is greater. The…

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Health insurance subsidies hit a roadblock in the US

Logan B.
health insurance deadline enrollment

Some people may be receiving more subsidies than they are due U.S. consumers may be receiving more subsidies from the federal government than they are due to receive under the Affordable Care Act. The federal law offers financial assistance to those that fall within a certain range of poverty, as defined by the government. Subsidies are meant to offset the cost of health insurance policies, making them more affordable and more widely available to consumers throughout the country. Some people may be abusing the availability of these subsidies, however. Some…

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Health insurance mandate penalty may be vastly misunderstood

S.Vagus
health insurance confusion

Federal law places a penalty on those without health insurance coverage The health insurance mandate of the U.S. Affordable Care Act has become one of the more controversial aspects of the federal law. According to the law, all U.S. citizens must have active health insurance coverage beginning on January 1, 2014. Failure to comply with the mandate could mean facing a tax penalty issued by the Internal Revenue Service (IRS). These penalties will not actually be issued until March 31, 2014, when the open enrollment period for health insurance exchanges…

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Long term care insurance tax deduction limits are on their way up

Nordstrom
Long Term Care Insurance

The IRS has increased these limitations to help LTC customers afford their policies. The director of the American Association for Long Term Care Insurance, Jesse Slome, has announced that the IRS has now increased their tax deduction limits on this form of coverage. The Internal Revenue Service announced the start of this change for policies purchased in 2013. According to Slome, “For taxable years beginning in 2013, the limitations have been increased,” adding that “Tax advantaged long-term care insurance remains one of the few remaining significant tax-savings benefits especially meaningful…

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New laws may affect Health Savings Account payments

H. Cutner
New laws may affect Health Saving Account payments

Recent changes to health care laws will affect the medication you can purchase using your health savings account.  In the future, you will need a prescription to receive reimbursement for purchases of many over the counter drugs, like cold medicines and pain relievers.  If you need to purchase medications that normally would require a prescription, like insulin or blood pressure medication, it will not be affected by the new law. According to the IRS, there is no way to prove the over the counter drugs were prescribed.  So in the…

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