DACA Recipient, Do I Owe the Fee?
I’ve been a DACA recipient for over two years now and today I filed my taxes with HR & Block and was surprised to find out I was getting penalized $95.00 for not having health insurance.
I told the tax professional that me being a non-citizen was exempt from the mandate requiring health insurance before the 15th of February (tomorrow).
She said I was wrong and that I still am required to have health insurance and that I would have to get it through another source.
I am a part time college student and part time employee and my employer does offer health insurance, but I am not sure I could afford it since I don’t bring in that much money anyways. So, i’m wondering if the tax professional did right in penalizing me through the ACA for not having health insurance even though I don’t think I am required to have it and cannot get it from the federal government in the first place?
I don’t believe its fair to penalize me for something I am not allowed to get.
DACA recipients don't owe the fee and aren't required to get coverage. They cannot use the Marketplace, but can get covered by Medicaid in some states or by their employer.
more about rules for Deferred Action for Childhood Arrivals (DACA) recipients here
now that we are filing taxes for 2015 are DACA applicants still exempt from the fee or are they going to get penalized for not having any type of insurance.
because I’m going to do my taxes and it is saying that I’m going to be penalized for $395.
As far as I understand it, DACA applicants are still exempt from the fee. See Question 11 on this IRS QA: https://www.irs.gov/Affordable-Care-Act/Individuals-and-Families/Questions-and-Answers-on-the-Individual-Shared-Responsibility-Provision
In other words, you need to take the correct 8965 exemption. (Exemption is code C)
See page 3 of 8965 instructions: https://www.irs.gov/pub/irs-pdf/i8965.pdf