Posted on 01/03/2015 6:45:06 AM PST by SeekAndFind
As many as 3.4 million people who received Obamacare subsidies may owe refunds to the federal government, according to an estimate by a tax preparation firm.
H&R Block is estimating that as many as half of the 6.8 million people who received insurance premium subsidies under the Affordable Care Act benefited from subsidies that were too large, the Wall Street Journal reported Thursday.
“The ACA is going to result in more confusion for existing clients, and many taxpayers may well be very disappointed by getting less money and possibly even owing money," the president of a tax preparation and education school told the Journal.
While the Affordable Care Act fines those who don't have health insurance, it also provides subsidies for people making up to four times the federal poverty line ($46,680).
But the subsidies are based on past tax returns, so many people may be receiving too much, according to Vanderbilt University assistant professor John Graves, who projects the average subsidy is $208 too high, the Journal reports.
Tax preparers, who frequently advertise their ability to deliver big refunds, have been working feverishly to avoid customer anger stemming from lower-than-expected refunds due to insurance premiums. They also are trying to make sure customers understand the potential fines for not having insurance.
(Excerpt) Read more at washingtonexaminer.com ...
“”They will reduce that payment by the amount you over recovered in the subsidy...””
We can hope they are that smart and do the right thing but will they? Don’t remember the last time they did something right in DC.
The new congress needs to pass a bill requiring all branches of the government to be subject to Obamacare. Problem solved.
You can count on the government to do just one thing: take that money anywhere and everywhere they can get it.
What do they care if their sheep get fleeced a little off their EITC checks? Their sheep probably don’t even know what they’re “due” anyway.
They are too stupid that their votes have already been bought and paid for, and that the farther they progress into that entitlement hole, the less and less government has to give them. They’ll take their slop and like it.
Taken to its logical conclusion when everything has been equalized, they’ll either have to produce or perish. Totalitarian Government will only tolerate dead weight in rise to complete power; it won’t when it attains it.
Haha good point.
Don’t be a sucker and pay the fine. The Congress will likely do away with the individual mandate in a year or so.
“Has the IRS suddenly become a benevolent organization that happily ignores a tax debt?”
Are you talking about the same IRS that sends out hundreds of thousands of dollars in bogus refunds to the same address?
They are going to do nothing to collect from anyone that doesn’t have visible assets.
Wah-wah-wah-wah...
Sorry, you did not win but you are eligible for the booby prize.
Beat me to it
Another democrat shell game they are masters of it.
I’m thinking we’re going to hear some interesting conversations about this scam in the coming year.
The more convoluted it gets, the more complex the [alleged] remedies get. But, hey that’s what democrat politics are all about, isn’t it? ... Create a problem, then create an even bigger fix requiring more government and more taxes to run it.
So now Obama is going after the lower middle class. That would be the people who pay their mortgages and other bills and depend on that income tax return to pay their property taxes.
They are not going to like that. No refund this year?
It passed without a single republican vote.
I believe that’s per person...not per household.
You hit the nail on the head. Congress members must laugh themselves silly when they exempt themselves from the punitive and unfair laws they force onto to rest of us. They act with impunity as they consider themselves to be above the law. There is no way these atrocities would pass into law if the lawmakers had to abide by the laws they pass.
Yes it is.
People that take subsidies in advance are suppose to report any change in income right away so the subsidies can be adjusted or eliminated. The older one is, the larger the subsidies are likely to be. In your chart, a 30 year old making $28,725 might get a subsidy of around $500 a year for a silver plan. A 55 year old making the same would get a subsidy of around $3500 a year. If for some reason near the end of the year they both get an unexpected source of income that puts them over the subsidy limit, the 30 year old may not complain as loud.
Most will not pay, but I will at least inwardly celebrate any time I hear of a liberal Obama voter getting what he deserves on April 15.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.