It's going to be an interesting tax season

http://www.forbes.com/sites/anthonynitti/2014/12/16/have-you-heard-the-one-about-the-tax-credit-that-you-pay-to-the-irs/

I tried to understand that....now I have a headache.

The whole ACA is written like that and it's wholly owned by the Democrats. When this hits enough people who are used to getting refunds, but will now
Get none or have to scratch a check to Obama, the Dems chances in 2016 just went into the toilet. Nobody they have and their promises will earn them a vote for the trickery displayed in 2010. And yes, it will be fresh in thie minds come general election time.

TEOTWAWKI wrote:I tried to understand that....now I have a headache.

I read it twice and still don't fully understand it, but from what I can decipher a lot of people who received the subsidy are going to get screwed if they were depending on a tax refund.

If they made more money than they projected then yes they are not going to get the tax refund they expected. I don't know what this article is talking about getting a $1500 credit and not getting the whole credit?

Vikingwoman wrote:If they made more money than they projected then yes they are not going to get the tax refund they expected. I don't know what this article is talking about getting a $1500 credit and not getting the whole credit?

Part of your refund counts as a credit. If you were used to getting 5k back in a refund each year, and now you get an ACA subsidy (let's say it was 1200), goes against that refund. So, that person expecting a 5k refund can expect to get 1200 less. I guess you won't be going to Biloxi this year after the refund huh?

No that's not what it said. If you qualify for the subsidy they don't take it out of your refund,Dork.

Vikingwoman wrote:No that's not what it said. If you qualify for the subsidy they don't take it out of your refund,Dork.

That's EXACTLY what it says. Sucks for you.

Subsidy also known by it's legal name Advanced Premium Tax Credit and I read the article the same way karl does.

No you're both flat out wrong. They do not take the credit out of your refund. Anything you owe over the tax credit they will because you owe it but not the whole credit itself. Now if it puts you in a different tax bracket because you got $5000 back then you will have to pay the credit back based on that income for the year. Say you got $20000 for the year income and got a credit for $2000 based on that income. If you get an additional $5000 in a refund then you will have to pay the credit for the additional $5000 which makes your income $25000 for the year.

The gift that keeps taking.

You can't read VW

The way I'm reading this you get the subsidy automatically when you apply for it but it counts as part of your income at the end of the year. Which along with any pay raises you might receive that weren't accounted for in the previous tax period, when they figured your subsidy, might put you in a much higher tax bracket especially since it doesn't look like they take FICA out of your subsidy. In which case it will not be accounted for by any FICA taken out of your paycheck for the year. So your tax refund might go down significantly or you might even have to pay in...

I can see a lot of people having to owe five hundred or more dollars and the government taking their 5-10% interest until it's paid off.

Not many people plan ahead like that and there's quite a few of them that depend on some sort of return each year.

I agree with Pkr... The gift that keeps on taking.

*****CHUCKLE*****

https://www.youtube.com/watch?v=Maz9ddxEQnM

KarlRove wrote:You can't read VW

No you're a moron. I've researched it already.

Again, if you are getting a 5k refund annually and you also take the subsidy for ACA (for example if you get $1200 per year for the subsidy), it will come out of the anticipated refund.

5000 refund - the 1200 subsidy= 3800 new amount of refund

*** It's all about double dipping. You won't get to or otherwise the government is just handing you that extra 1200 just for their jollies and sorry, but at least this way it doesn't ADD any more to the cost of an already overblown and overpriced boondoggle.

I know it doesn't seem right, but it's plenty fair. The rest of us are subsidizing the entire country and you can participate as well. Bet you aren't too happy with this, but "we had to pass it to see what was in it." Remember?

No, you're wrong. They don't take the subsidy out of your income tax refund unless you've made more than you reported for the year. The income tax credits are what the govt. gives everybody and the subsidy is based on your income. Not your tax credits. I just got off the phone w/ the marketplace and verified it. BTW, it doesn't affect me as I don't get a refund. You need to stop posting false info. You're just as bad as Chrissy who was the queen of misinforming people.

Learn reading comprehension. You won't get all of your refund this year. Sorry.

You're FOS,PD as usual.

NO Dreams.....just less trips for you on the Good Time Tours bus to Biloxi. Read and learn. ACA sucks now huh? It's gonna take from you just like the rest of us...everyone pays in comrade.

I'm not going to continue to argue w/ an idiot. People can check for themselves and see you're FOS.

People already agree with me on this thread. Makes you the one _____ now doesn't it?

It was all fun and games until you have to shed some skin for ACA huh?

Do you honestly believe you should get a giant refund AND have us pay part of your insurance too? Really?

This is just more scardy cat nonsense. These are simple concepts and are fully understood by the software developers. I find it entirely amusing that somebody thinks this is complex. Turbo tax agrees:

http://investors.intuit.com/press-releases/press-release-details/2014/Intuit-TurboTax-Statement-on-IRS-Draft-Instructions-for-Premium-Tax-Credit-and-Health-Care-Coverage-Exemptions/default.aspx

ACA forms and instructions are extensive, and many will use this to spread fear and uncertainty among the country’s hardest working citizens in an attempt to convince them to part with their hard-earned money and pay someone else to complete these forms for them.

We disagree. At TurboTax, it’s our job to simplify Affordable Care Act paperwork and do the hard work for American taxpayers. The ACA is in our sweet spot. We simplify the complex, translating tax code into easy-to-answer questions that give people the confidence they can navigate the ACA and empower them to make the right choices for themselves and their families. In fact, that’s what TurboTax has been doing for more than 30 years, helping people make sense of complicated federal regulations so they can keep more of their hard earned money.”

We use turbo tax on our personal and business before sending our tax information to the CPA. This is a no brainer. They will do the math with a couple inputs from the taxpayer.

The wussification of America is complete.....that big old scary tax form is going to gobble people up....where is Butchmeup scare tactics that we are all going to get screwed......we are not. If you got subsidy, there will offsets with parameters easily defined with software for less than a hundred dollars.

Seaoat, read it yourself. It's pretty cut and dry. Folks like Vikingwoman (who would pick a white supremacy name for a forum?) need some skin in the game. They can't expect to get full refunds and also everyone else pay for their insurance.

People already agree with me on this thread

You would have to be dropped on your head as a baby not to fill out a simple 1040 personal tax return which includes the new ACA form with a cheap program like Turbo tax for around fifty bucks. Only stupid people will freak out, and you cannot fix stupid. Most people who have been using tax software to fill out their tax returns will have another successful filing this year. Wussification and fear in this nation have turned grown men into children.

I'm not freaking out. Vikingwoman is ....LOL