Form 1095-A (2020)

What Is a 1095 A Tax Form 2020

The 1095 A Tax Form 2020 is a crucial document for anyone who has received health insurance through the Health Insurance Marketplace. This form provides essential information about the insurance coverage, such as the monthly premium amounts, any Advanced Premium Tax Credit (APTC) received, and the cost of the second-lowest silver plan. It serves as a key piece in accurately preparing your tax return, ensuring that individuals can claim the Premium Tax Credit or reconcile any discrepancies between the advance credit payments and the actual amount eligible for based on the final income for the year.

When to Use 1095 A Tax Form 2020

There are specific situations where you'll find the 1095 A Tax Form indispensable:

• Premium Tax Credit Claims: If you're eligible for the Premium Tax Credit (PTC) and didn't take advantage of the Advanced Premium Tax Credit (APTC).
• Reconciling APTC Payments: For taxpayers who received the APTC, this form reconciles the amount on their tax return.
• Reporting Health Coverage: Demonstrating that you maintained essential health coverage throughout the year.

How To Fill Out 1095 A Tax Form 2020

Step 1: Part I - Recipient Information

Part I focuses on the recipient's information. It's about who is covered under the policy.

• Line 1: Provide the recipient's name. This should match the name on the tax records.
• Line 2: Enter the recipient's Social Security Number (SSN).
• Line 3: Include the recipient's date of birth only if the SSN is not applicable or available.
• Line 4: Fill in the recipient's address. This should include street, city, state, and ZIP code.

Step 2: Part II - Employer or Other Coverage

Part II is applicable if the recipient had insurance through an employer or other sources not covered by the Marketplace.

• Lines 5 - 8 indicate employment or other health coverage details. However, these lines will remain blank for most individuals receiving Form 1095-A.

Step 3: Part III - Coverage Information

Part III is the core section where the health plan's monthly specifics are provided.

• Column A: Lists the months from January to December. For each month, you’ll report specifics about your coverage.
• Column B: Indicates the monthly premium amount for the health plan. Fill in the premium amount for each month you're covered.
• Column C: Shows the amount of the second lowest cost Silver plan (SLCSP), crucial for calculating premium tax credits.
• Column D: Reflects the monthly advance payment of the premium tax credit (if applicable).

Step 4: Confirming the Accuracy

Before you consider the form complete, double-check all the information for accuracy. Errors can lead to processing delays or incorrect tax credits.

Step 5: Utilizing Form 1095-A

Lastly, use the information on Form 1095-A to fill out Form 8962, Premium Tax Credit (PTC). Form 8962 will be filed with your tax return to reconcile or claim the premium tax credits.

When to File 1095 A Tax Form 2020

The 1095 A Tax Form 2020 should be filed alongside your regular tax return. Typically, tax returns are due by April 15th of the following year. However, if you've received an extension, ensure this form is included in your final submission. Remember, the information on the 1095 A is vital for accurately calculating your Premium Tax Credit or reconciling any differences if you've received the Advanced Premium Tax Credit.

Accurate completion and timely filing are crucial to maximizing your benefits and ensuring compliance with tax obligations.