Uninsured Will Face Fines Next Tax Season

You can expect your accountant to get a little more personal this year with questions about health insurance.

Sunday was the deadline to obtain health insurance under the Affordable Care Act, and those who opted to remain without insurance are facing fines. Those fines vary based on the individual’s income and marital status. Those who make under a certain amount per year are exempt from the fine. This is the first year a fine is being imposed on taxes for not having health insurance, and many opted to pay the fine instead of the price of the insurance.

Walter Johnson, a tax preparer for Sue Richardson Accounting, says, “A lot of times it’s cheaper to go uninsured and pay the penalty than it is to pay for the coverage. However, as the penalties increase down the road, it’ll be more prevalent that people will go ahead and obtain coverage.”

Next month, the Supreme Court will take up a case that challenges the legality of Obamacare subsidies, a central component of the federal healthcare program. If struck down, it could be a fatal blow to the Affordable Care Act.

Categories: Local News, News

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