ObamaCare fines rising in 2015, IRS prepares to collect
Published December 29, 2014
Reaction to new ObamaCare numbers
Don't have health insurance? Get ready to pay up.
The ObamaCare-mandated fines for not having insurance are rising in 2015 -- and for the first time, will be collected by the Internal Revenue Service.
The individual requirement to buy health insurance went into effect earlier this year. But this coming tax season is the first time all taxpayers will have to report to the IRS whether they had health insurance for the prior year.
The fines for the 2014 year were relatively modest -- $95 per person or 1 percent of household income (above the threshold for filing taxes), whichever is more.
But insurance scofflaws face a sharp increase if they don't get covered soon. The fine will jump in 2015 to $325 or 2 percent of income, whichever is higher. By 2016, the average fine will be about $1,100, based on government figures.
The insurance requirement and penalties remain the most unpopular part of the health care law. They were intended to serve a broader purpose by nudging healthy people into the insurance pool, helping to keep premiums more affordable. But the application of fines in 2015 could renew criticism of the law, at a time when Republicans are taking control of Congress and looking at ways to undercut the policy.
According to government figures, tens of millions of people still fall into the ranks of the uninsured.
Unclear is how many would actually be assessed a fine. The law offers about 30 different exemptions, most of which involve financial hardships. Further, it's unclear how aggressively the IRS would go after the fines.
Many taxpayers may be able to get a pass.
Based on congressional analysis, tax preparation giant H&R Block says roughly 4 million uninsured people will pay penalties and 26 million will qualify for exemptions from the list of waivers.
Deciding what kind of waiver to seek could be crucial. Some can be claimed directly on a tax return, but others involve mailing paperwork to the Department of Health and Human Services. Tax preparation companies say the IRS has told them it's taking steps to make sure taxpayers' returns don't languish in bureaucratic limbo while HHS rules on their waivers.
TurboTax has created a free online tool called "Exemption Check" for people to see if they may qualify for a waiver. Charges apply later if the taxpayer files through TurboTax. People also can get a sense of the potential hit by going online and using the Tax Policy Center's Affordable Care Act penalty calculator.
Timing also will be critical for uninsured people who want to avoid the rising penalties for 2015.
That's because Feb. 15 is the last day of open enrollment under the health law. After that, only people with special circumstances can sign up. But just 5 percent of uninsured people know the correct deadline, according to a Kaiser Family Foundation poll.
"We could be looking at a real train wreck after Feb. 15," said Stan Dorn, a health policy expert at the nonpartisan Urban Institute. "People will file their tax returns and learn they are subject to a much larger penalty for 2015, and they can do absolutely nothing to avoid that."
In a decision that allowed Obama's law to advance, the Supreme Court ruled in 2012 that the coverage requirement and its accompanying fines were a constitutionally valid exercise of Congress' authority to tax.
Sensitive to political backlash, supporters of the health care law have played down the penalties in their sign-up campaigns. But stressing the positive -- such as the availability of financial help and the fact that insurers can no longer turn away people with health problems -- may be contributing to the information gap about the penalties.
The Associated Press contributed to this report.
http://www.foxnews.com/politics/2014/12/29/obamacare-fines-rising-in-2015-irs-prepares-to-collect/
Published December 29, 2014
Reaction to new ObamaCare numbers
Don't have health insurance? Get ready to pay up.
The ObamaCare-mandated fines for not having insurance are rising in 2015 -- and for the first time, will be collected by the Internal Revenue Service.
The individual requirement to buy health insurance went into effect earlier this year. But this coming tax season is the first time all taxpayers will have to report to the IRS whether they had health insurance for the prior year.
The fines for the 2014 year were relatively modest -- $95 per person or 1 percent of household income (above the threshold for filing taxes), whichever is more.
But insurance scofflaws face a sharp increase if they don't get covered soon. The fine will jump in 2015 to $325 or 2 percent of income, whichever is higher. By 2016, the average fine will be about $1,100, based on government figures.
The insurance requirement and penalties remain the most unpopular part of the health care law. They were intended to serve a broader purpose by nudging healthy people into the insurance pool, helping to keep premiums more affordable. But the application of fines in 2015 could renew criticism of the law, at a time when Republicans are taking control of Congress and looking at ways to undercut the policy.
According to government figures, tens of millions of people still fall into the ranks of the uninsured.
Unclear is how many would actually be assessed a fine. The law offers about 30 different exemptions, most of which involve financial hardships. Further, it's unclear how aggressively the IRS would go after the fines.
Many taxpayers may be able to get a pass.
Based on congressional analysis, tax preparation giant H&R Block says roughly 4 million uninsured people will pay penalties and 26 million will qualify for exemptions from the list of waivers.
Deciding what kind of waiver to seek could be crucial. Some can be claimed directly on a tax return, but others involve mailing paperwork to the Department of Health and Human Services. Tax preparation companies say the IRS has told them it's taking steps to make sure taxpayers' returns don't languish in bureaucratic limbo while HHS rules on their waivers.
TurboTax has created a free online tool called "Exemption Check" for people to see if they may qualify for a waiver. Charges apply later if the taxpayer files through TurboTax. People also can get a sense of the potential hit by going online and using the Tax Policy Center's Affordable Care Act penalty calculator.
Timing also will be critical for uninsured people who want to avoid the rising penalties for 2015.
That's because Feb. 15 is the last day of open enrollment under the health law. After that, only people with special circumstances can sign up. But just 5 percent of uninsured people know the correct deadline, according to a Kaiser Family Foundation poll.
"We could be looking at a real train wreck after Feb. 15," said Stan Dorn, a health policy expert at the nonpartisan Urban Institute. "People will file their tax returns and learn they are subject to a much larger penalty for 2015, and they can do absolutely nothing to avoid that."
In a decision that allowed Obama's law to advance, the Supreme Court ruled in 2012 that the coverage requirement and its accompanying fines were a constitutionally valid exercise of Congress' authority to tax.
Sensitive to political backlash, supporters of the health care law have played down the penalties in their sign-up campaigns. But stressing the positive -- such as the availability of financial help and the fact that insurers can no longer turn away people with health problems -- may be contributing to the information gap about the penalties.
The Associated Press contributed to this report.
http://www.foxnews.com/politics/2014/12/29/obamacare-fines-rising-in-2015-irs-prepares-to-collect/
» The Prime Minister is discussing in Paris providing Iraq with specialized radars and combat aircraft
» The Prime Minister is discussing with the delegation of Alstom Transport Company the suspended Baghd
» Prime Minister: We need a new style of relationship with the international coalition, and our financ
» An expert hints at the stability of the dollar at a certain number: two options before the dinar det
» It provides thousands of job opportunities and millions of dollars.. Can Iraq implement the "transit
» Pompeo's memoirs.. Al-Abadi told me: You take my money and Soleimani will take my life
» Iraq gets about $100 million annually from aircraft crossing its airspaceproposals from
» Iraq.. 12 million citizens do not receive 200,000 dinars per month
» 100 dollars for the “hardship” .. This is how the dollar is smuggled after the application of the el
» Iraq wants to buy French Rafale aircraft
» In detail... Iraq and France sign a memorandum of understanding in the field of combating corruption
» Transport reviews the details of a "giant project" linking Iraq with Europe
» Sheikh Jamal Al-Dari: Iraq's signing of the strategic partnership agreement with France is an import
» Legal experts: The Federal Court is unconstitutional and “political tensions” are behind the decisio
» Fouad Hussein: Al-Sudani and Macron did not address the recent Federal Court decision
» “Sales diplomacy.” South Korea strengthens its presence in Iraq and the region’s markets
» Foreign Ministry: Iraq seeks to recover smuggled funds by signing memorandums of understanding
» Parliamentary Finance: The dollar is available in the Central Bank, and banks refrain from buying it
» Al-Samarrai on the Paris Agreement: It represents a transition that the Iraqis have been waiting for
» "Exceptional circumstances" suspend the work of the Iraqi embassy in a European country
» This Is How The Dollar Crisis Was Made.. And This Is How The Sudanese Became! C 2
» 4 parliamentary questions looking for the "secret" of depositing Iraq's money in the US Federal Rese
» Ministry of Commerce: The prices of building materials in our warehouses are fixed and have not been
» Iraqi Kurdistan warns of the "illegal" suspension of funding
» Integrity announces the return of more than a trillion dinars in the investigations of the investmen
» Counselor Mazhar Saleh presents proposals to ensure market stability
» Obelisk Hour: The decision of the Federal Court is implemented retroactively and the money is return
» The Constitution Amendment Committee is fading away amid calls to reduce Parliament to 250 deputies
» The oil and gas law has been faltering since 2008, and the Federal Council is at the center of a dis
» Iraq is outside the group.. Arab countries are classified as a "cultural influence index"
» A leader in the framework: The theft of the century revealed 3 surprises... and 70% of the cases hav
» A leader in the framework: Russia will intervene in resolving the urgent dollar crisis in Iraq
» “The washing continues.” Parliamentary Finance: Exempting the governor of the Central Bank does not
» Kurdish deputy: One goal behind Baghdad's pressure on the oil companies in the region
» After cutting off funds from the region, its president announces: The Kurds are Iraqi citizens
» Al-Sudani in Paris.. Details about armament deals, gas and electricity investments
» Washington surprised Baghdad with the restrictions of the dollar.. A Dutch network talks about "deli
» There is no power over the judiciary other than the law.
» Parliament asks Foreign Minister Fuad Hussein about the reason for depositing Iraq's money in the US
» America calls on Iraq to abide by its sanctions against Iran and to prevent the transfer of the doll
» Sudanese financial advisor offers new solutions to reduce the dollar crisis
» Headed by Al-Halbousi.. Starting a consultative meeting for the Arab Inter-Parliamentary Union
» Prime Minister: We will continue to work for serious partnerships that guarantee Iraq achieving econ
» Adviser to the Prime Minister presents two proposals to ensure the stability of the national market
» Al-Sudani expresses his government's desire to cooperate with UNESCO to implement small and medium p
» Trade: Government movement led by Al-Sudani to control food prices
» Minister of Labor: The Social Research Campaign is the largest in the region
» Saleh: The proceeds of small trades constitute 70% of the total import units
» Resources: Upcoming meetings with the Turkish side and dialogues with Iran on water shares
» The Minister of Electricity explains the reason for the recent decline in supply hours
» Nechirvan Barzani discusses with Erdogan the situation in Kurdistan and Iraq and ways to enhance coo
» Nechirvan Barzani on the anniversary of the liberation of Kobani: The people of Kurdistan will never
» Education determines the number of college schools Iraq needs
» From behind the scenes of the stock exchanges...a specialist reveals 3 types of dollar dealers there
» A great success for the forum of commercial meetings between Iraqi and Qatari companies.
» Within the framework of aid distribution … the Minister of Immigration instructed to provide aid to
» Legal experts: The Federal Court is unconstitutional and “political tensions” are behind the decisio
» The Prime Minister announces the signing of the strategic partnership agreement with Macron
» Al-Sudani appoints Laith Al-Athari as a member of the Board of Trustees of the Media and Communicati
» Judge Jaafar reveals the secrets of theft of the century: Politicians and parties in the previous go
» Al-Halbousi concludes his visit to Algeria
» The industry announces the production of 24 thousand tons of asphalt derivatives and an increase in
» Terrifying.. revealing the toll of mine victims in the Kurdistan region
» Education announces the availability of scholarships for foreign students and seats for non-Iraqis
» Reveal the details of the Iraqi-French agreement
» The stability of the dollar exchange rate in Iraq
» The Ministry of Industry announces the formation of special committees to implement the government p
» Al-Sudani and Macron discuss joint cooperation in a number of vital sectors
» Under the auspices of its Minister, Nizar Amidi, the environment organizes an event to launch the Vi
» Iraq.. Overthrowing more than 1,100 dealers and seizing 22,159 kg of drugs during the current month
» The House of Representatives announces the agenda for the next Saturday session
» An official statement reveals the details of the Sudanese and Macron meeting
» Presidency of the Council hinder the discussion of the exchange rate
» Dollar exchange rates in the Iraqi market
» The most prominent contents of the partnership agreement between Iraq and France
» Analysis: 4 reasons prompted Al-Sudani to demand the survival of US forces in Iraq
» The Iraqi judiciary: the main suspect in the tax secretariat case paid about two-thirds of the money
» After the message of the US Federal Reserve to the Iraqi Central Bank... a new strategy to combat "m
» The Kurdistan region is negotiating with the Iranian opposition parties to stop their activities in
» Economist: 14% for Kurdistan in the 2023 budget, in exchange for the delivery of 150,000 barrels of
» Minister of Labor: We are keen to provide the best services and we do not want to pass poverty on to
» Trade: Government movement led by Al-Sudani to control food prices
» Iraq second.. a list of the countries that import the most from Iran
» Kurdistan Parliament: The decision of the Federal Court will negatively affect the rapprochement bet
» KTFA Wednesday Night CC with Frank26 "Numbers" 1-25-2023
» Al-Halbousi is heading a parliamentary delegation to participate in the meeting of the Organization
» Disclosure of the details of the framework agreement with the Sudanese to dismiss the central govern
» American report: The Kurdistan government allowed the Turkish bombing of its lands as a metaphor for
» Reuters: A close victory for Al-Sudani through a French-Qatari deal worth $27 billionproposals from
» Ina / Al-Jubouri: America considers leaving Iraq as its loss to the Middle East
» Aware / Al-Shammari: Fruitful cooperation between Iraq and Jordan in controlling borders and combati
» State of law: Finance Minister Taif Sami prevented the sending of money to Kurdistan a month ago
» After a day of protests in front of the Iraqi Central Bank.. the dollar prices stabilized at 161 tho
» Integrity opens the file (investment portfolio) between retirement and Qi Card and returns more than
» Al-Dari: We trust Al-Sudanese ability to find "constitutional alternatives" that respect the decisio
» The deputy speaker of the Iraqi parliament calls on the political forces to take a stand on the deci
» A travel ban was issued against the former agent of the Iraqi Intelligence Agency, Ahmed "Abu Raghee
» An analysis detailing the significance of the Sudanese visit to France