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I am from Mississippi. I have received a Premium Tax Credit letter. Can you tell me why I have received this letter? What steps should I take now?

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There are a couple of reasons why you received the premium tax credit letter from the IRS. This letter (also known as 12C letter) is usually sent to individuals due to the following reasons:

The Marketplace informed the IRS that they made your advance payments of the premium tax credit to your family’s insurer in the previous year.

Perhaps, you didn’t reconcile the advance payments of the premium tax credit using the form 8962 when you filed your 2015 tax returns.

Steps you need to take now

  1. Give a reply to the letter.
  2. If you feel there is an error, then you can send a letter and explain your side of the story.
  3. If you haven’t enrolled in health insurance through Marketplace, then include this information in the letter.

Documents you need to attach with the letter

  1. Form 8962.
  2. A copy of the Health Insurance Marketplace statement you received earlier this year. This is basically the Form 1095-A. Get in touch with the Marketplace if you want a 1095-A form.
  3. The second page of your tax return. This usually includes the “Tax and Credits” and “Payments” sections. Make sure you fill out any one of these 2 sections - “excess advance premium tax credit repayment” or “net premium tax credit.”
  4. If you need more information on tax, then you can browse articles in the tax category of OVLG education.

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Last Updated on: Fri, 8 Jun 2018