Obamacare Website Sent False Data To 800,000 Americans

Posted: Feb 20, 2015 11:45 AM

HealthCare.gov, the website millions of Americans must buy health insurance through, sent 800,000 Americans false tax reforms that could cause victims to owe more in federal taxes. About 50,000 of these individuals already filed tax returns with the IRS, and will have to refile.

The errant in form in question, the 1095-A form, is used by individuals who receive subsidies to buy health insurance through health exchanges. The size of an individuals subsidy is determined by a combination of that individuals monthly income and the price of a "benchmark" insurance plan selected by the federal government in their area.

For 800,000 Americans, HealthCare.gov sent them the price of the benchmark plan for this year, 2015, not last year, 2014, the year for which Americans are currently doing their taxes.

So if a taxpayer thought the benchmark plan in their area was $500 a month, when it was really $400 a month, then they could be getting a $1,200 tax bill from the government.

California also had a similar problem with their state-run exchange, sending 100,000 Californians similar false data.

HealthCare.gov is the same website that failed for months when it was first unveiled in 2013, and has cost taxpayers $2.1 billion so far