call us for an appointment :  713-661-1040

Eight Important Facts about the Health Coverage Tax Credit

The Health Coverage Tax Credit pays 80 percent of health insurance premiums for eligible taxpayers and their qualified family members. However, many people who could be receiving this valuable credit don’t know about it, and are missing out on big savings that can help them and their families keep their health insurance.

Here are the top eight things the IRS wants you to know about the HCTC:

  1. The HCTC pays 80 percent of an eligible taxpayer’s health insurance premiums.
  2. The HCTC is a refundable credit, which means it not only reduces a taxpayer’s tax liability but also may result in cash back in his or her pocket at the end of the year.
  3. Taxpayers can receive the HCTC monthly—when their health plan premiums are due—or as a yearly tax credit.
  4. Nationwide, thousands of people are eligible for the HCTC.
  5. You may be eligible for the HCTC if you receive Trade Readjustment Allowances—or unemployment insurance in lieu of TRA—through one of the Trade Adjustment Assistance programs.
  6. You also may be eligible for the HCTC if you are a Pension Benefit Guaranty Corporation payee and are 55 years old or older.
  7. The most common types of health plans that qualify for the HCTC include COBRA, state-qualified health plans, and spousal coverage. In some cases, non-group/individual plans and health plans associated with Voluntary Employee Benefit Associations established in lieu of COBRA plans also qualify.
  8. HCTC candidates receive the HCTC Program Kit by mail. The Kit explains the tax credit and provides a simple checklist to determine eligibility. Also included in the Kit is the HCTC Registration Form.

Call us today at 713-661-1040 and let us put our experience to work for you. Protecting your bottom line is our top priority!

Knowledge Center

Are You a Manager with a major Houston Employer? For corporate executives with major Houston empl

by: Proactive Tax PlanningAugust 23, 2018

Read More >>

Tax accounting and tax planning are two of the most important key features in personal financial pla

by: Tax PreparationAugust 23, 2018

Read More >>

When the IRS notifies you of an audit, knocks on your door, or sends you a letter demanding addition

by: IRS Dispute ResoltionAugust 23, 2018

Read More >>

Increase Your Tax Refund by Consulting an Income Tax Preparation Expert Its income tax time again

by: Business ConsultingAugust 23, 2018

Read More >>

Knowing what your business competitors are up to is an important part of strategy, but when it comes

by: Forensic AccountingAugust 23, 2018

Read More >>

call our office today

713-661-1040

schedule appointment

send mail

email newsletter

sing up here