The Obamacare tax penalty is paid when you file your federal taxes for the year in question. So, if you went without Obamacare-compliant health insurance coverage in 2016, you may have to pay the tax penalty when you file your 2016 tax return in early 2017.

Are there penalties for being uninsured under Obamacare?

Some states will impose a penalty on residents who are uninsured. Although the federal individual mandate penalty will be $0 for those who are uninsured in 2019 and beyond, some states are stepping up to implement their own individual mandates and associated penalties.

Is there a tax penalty for not having health insurance?

Unfortunately, the Obamacare tax penalty can be pretty substantial. It’s big enough, at any rate, to give anyone second thoughts about going without health insurance. Like the subsidies that Obamacare provides to qualifying individuals and families, the Obamacare tax penalty works on a sliding scale.

Are there penalties for not having health insurance in New Jersey?

New Jersey has implemented an individual mandate, effective in 2019, with a penalty modeled on the ACA’s penalty. The maximum penalty is based on the average cost of a bronze plan in New Jersey.

Is there a way to avoid the Obamacare surtax?

Proactive tax planning is imperitive for those with large incomes. A surprise Birthday Party may be fun, and a surprise tax bill is not. Many people in Los Angeles are getting hit with a with the Obamacare surtax, with a little tax planning man could avoid getting surprised with a pesky tax bill.

What kind of taxes do I have to pay under Obamacare?

• Individual Mandate (the tax for not purchasing insurance if you can afford it). Starting in 2014, anyone not buying “qualifying” health insurance must pay an income tax surtax at a rate of 1% or $95 in 2014, to 2.5% in 2016 on profitable income above the tax threshold.

When to file a protective claim for Obamacare?

Alternatively, you may let the statute of limitations for the tax year 2016 expire and choose to file a protective claim for tax years 2017 and 2018 instead. Please let us know and we will help get this process started.

Is the Obamacare penalty called a shared responsibility payment?

On your federal tax forms, you’ll find that the Obamacare tax penalty is referred to as a “shared responsibility payment” under the Affordable Care Act. That’s the more official name of the Obamacare tax penalty.