Penalized for not having healthcare while filing taxes? How to get your money back

A new change in law steaming from the Trump administration doing away with Obamacare allows people who were penalized for not having health insurance on their taxes get all of their money back.

The change took place in October and says since states like Arizona only offer one health insurance provider like Blue Cross Blue Shield it created hardships for people, according to Janet Rosenow, a Senior Tax Analyst with H&R Block.

“It’s not fair you should be able to have a choice of your health insurance not just told you to have this one or none, so they [Trump Administration] decided you don’t have to pay the penalties because of that which is a great change in the law,” Rosenow said.

The penalty paid for a single person who didn’t have health insurance when filing their taxes last year was around $695. A married couple paid as high as $1,395, Rosenow explained.

“You can get an exemption through the marketplace and get your money back, the IRS will refund your penalties back to you. I have a gentleman here locally in Yuma that paid over $3,000 penalties for him and his family and I was able to get his money back for him,” Rosenow said.

The penalty paid for a single person who didn’t have health insurance when filing their taxes last year was around $695. A married couple paid as high as $1,395, Rosenow said. It can take up to 12 weeks for someone to receive their money back.

If you filed with H&R Block last year they will amend your taxes free of charge by filing an exemption form that goes to the healthcare marketplace. Once a certificate letter is sent back which usually takes 10-12 days they can amend the tax return making you exempt from penalties.

For someone who didn’t file through H&R Block, there is a fee of $99.00.

There is also an exemption form for 2018 tax return to sit won’t hold up the penalty.

There is five H&R Block’s located in Yuma, so far they have helped over 200 people who were penalized last year.