Form 1095-A Explained: 2025 Guide to Health Insurance Marketplace Statement and Costs

Understanding Form 1095-A is crucial for anyone who purchases health insurance through the Health Insurance Marketplace. This form provides detailed information about your coverage and plays an important role in your tax filings.

What Is Form 1095-A: Health Insurance Marketplace Statement?

Form 1095-A is an official tax document sent each year to individuals and families enrolled in health plans via the federal or state Health Insurance Marketplace. It outlines your health coverage details, including the start and end dates, monthly premiums paid, and any advance premium tax credits applied to your account.

This form is used to accurately complete your tax return, especially if you qualify for premium tax credits. However, you do not submit Form 1095-A directly to the IRS; instead, you use the information it contains to fill out Form 8962.

Key Points to Remember

• If you purchased insurance through the Marketplace, expect to receive Form 1095-A annually.
• While you don’t file Form 1095-A itself, you must transfer its data to Form 8962 if claiming premium tax credits.
• Keep this form for your records, as it verifies your healthcare coverage.

Who Receives Form 1095-A?

Individuals and families who enroll in qualified health plans through the federal or state Health Insurance Marketplace will receive this form. It serves as proof of your insurance coverage and details any financial assistance you received.

Remember, you are not required to send Form 1095-A to the IRS, but you must use its information when filing your taxes. If eligible for premium tax credits, Form 8962 must be completed and submitted alongside your tax return.

Due to the American Rescue Plan Act of 2021, all Marketplace enrollees are now eligible for premium tax credits regardless of income limits that previously excluded those above 400% of the federal poverty line.

How to Use Form 1095-A for Your Taxes

When preparing your 2023 tax return, use the details from Form 1095-A to complete Form 8962, which calculates your premium tax credit. The IRS advises waiting to file your taxes until you receive this form to ensure accurate reporting and avoid delays.

Form 1095-A is typically mailed or made available online by mid-January following the coverage year. If you don’t receive it or notice any errors, contact Healthcare.gov promptly to request a corrected copy.

The form includes monthly premium amounts, coverage periods, your personal details, policy numbers, and insurer information, all vital for your tax filing.

The full Form 1095-A template is accessible on the IRS website for reference.

Additional Notes

The individual mandate penalty for lacking health insurance was eliminated starting in 2019, but reporting your coverage remains important for tax credit purposes.

Summary: What You Need to Know About Form 1095-A

If you obtained health insurance through the Marketplace in 2023, expect to receive Form 1095-A by mid-January 2024. This form documents your coverage and any premium tax credits you received, which you must report on your tax return using Form 8962.

Although you do not submit Form 1095-A itself to the IRS, accurate use of its information is essential for maximizing your tax benefits and ensuring compliance.

Explore useful articles in Taxes as of 11-02-2025. The article titled " Form 1095-A Explained: 2025 Guide to Health Insurance Marketplace Statement and Costs " offers in-depth analysis and practical advice in the Taxes field. Each article is carefully crafted by experts to provide maximum value to readers.

The " Form 1095-A Explained: 2025 Guide to Health Insurance Marketplace Statement and Costs " article expands your knowledge in Taxes, keeps you informed about the latest developments, and helps you make well-informed decisions. Each article is based on unique content, ensuring originality and quality.