Randall Posted March 21, 2022 Report Share Posted March 21, 2022 Last year, client did not qualify for PTC but received the advance. Did not have to pay back the advance because of covid or whatever they said. This year, similar income, appears to qualify. Received advance and 8962 says he'll get more, much more, nearly all of the premium. I see on 2021 Form 8962 line 6 is blocked out, reserved for future use. 2020 Form 8962 line 6 has a question if over 400%, he does not qualify. Did I miss something, a change in this to allow more PTC? Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 21, 2022 Report Share Posted March 21, 2022 Did he have any unemployment benefits in 2021? Quote Link to comment Share on other sites More sharing options...
Randall Posted March 21, 2022 Author Report Share Posted March 21, 2022 6 minutes ago, Lion EA said: Did he have any unemployment benefits in 2021? No and none in 2020. Quote Link to comment Share on other sites More sharing options...
Randall Posted March 21, 2022 Author Report Share Posted March 21, 2022 Instructions for 8962, What's new says for 2021 and 2022 taxpayers with hshld income that exceeds 400% of the Fed poverty line may be allowed a PTC. So I guess that's something new they are allowing and why line 6 is blocked out. Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 21, 2022 Report Share Posted March 21, 2022 Huh, I have one I'm holding for CA , but the federal has her repaying some PTC because her income increased in November. Are you saying that's not correct? Quote Link to comment Share on other sites More sharing options...
Randall Posted March 21, 2022 Author Report Share Posted March 21, 2022 My client's modified AGI is over 400%. Line 6 is blocked out. Last year if income was over 400%, they did not qualify for the PTC. But due to circumstances last year, they waived any payback. This year, he is apparently eligible for the PTC. His amounts on 1095 are the same for all months so I entered the totals. He got credit advances each month and ATX Form 8962 is calculating he gets even more, almost as much as the premium total (counting his advance). Quote Link to comment Share on other sites More sharing options...
kathyc2 Posted March 21, 2022 Report Share Posted March 21, 2022 For 2021 and 22 there is no "subsidy cliff". Even those with income over 400% are not required to pay premiums for SLCSP that is more than 8.5% of income. In 2019 and prior if income over 400%, lines 7-8b did not populate. For 2021 if should calculate 8.5% of AGI on 8a and monthly on 8b. It should calculate correctly. If SLCSP is less than 8b, all APTC needs to be paid back. If your client is receiving a large credit, I assume he's older? 2 Quote Link to comment Share on other sites More sharing options...
Randall Posted March 21, 2022 Author Report Share Posted March 21, 2022 2 hours ago, kathyc2 said: If your client is receiving a large credit, I assume he's older? Yes Quote Link to comment Share on other sites More sharing options...
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