Affordable Care Act Brings Changes to Tax Preparation


There may be a few changes this year in the way you prepare your taxes, thanks to the Affordable Care Act. For the first time, certain taxpayers may be getting health care information forms to help them complete their tax returns and keep with their tax records.

Form 1095-B will be sent out by health insurance providers to the individuals they cover, with information about who was covered and when.

Also new this year is Form 1095-C. It’s sent by some employers with details about the coverage they offer to employees.

For the second year, those enrolled in coverage through the Health Insurance Marketplace will receive Form 1095-A.

The Internal Revenue Service says you can file tax returns before you get the 1095-B or -C forms, using information available elsewhere. However, if you’re expecting to get a 1095-A form, the IRS says to wait until you get it before filing. The new forms should not be attached to your income tax return. Instead, you should keep them for your tax records.

The IRS also reminds taxpayers that they need to either report that they’ve had qualifying health care coverage for the entire year or prove they qualify for an exemption. Otherwise, they will have to pay an “individual shared responsibility payment.”

For more information on how the Affordable Care Act will affect your tax returns, visit