Here Are the Two Words From Joe Biden That Haunted Kamala Harris
Trump Takes a Blowtorch to These Rogue Judges Trying to Thwart the Will...
Kathy Hochul Is Another Dem Who Cannot Go Off-Script...and CNN Just Exposed It
How You Know These GOP Town Halls Are Being Infiltrated by Leftist Clowns
ABC News Was Forced to Retract Some Grade-A Fake News About Israel's Gaza...
Is the DEA Monitoring Your Phone Calls?
The Left Knew They Were Lying to Us All Along
'A Historic Day': Noem Hails Coast Guard's Massive Drug Bust
McMahon Lays Out Her Vision for Eliminating the Department of Education
Elon Musk Urged to Take Legal Action After What Former Dem Rep Said...
Another Wrongfully Detained American Has Been Released
Uh-oh, Less Engaged Voters Became Much More Republican in 2024
The Democrats' Suicide Bombers
Trump Suspended Funding for Penn Over the Lia Thomas Fiasco. Here's How His...
A World Without Challenges Is a World Without Triumphs
Tipsheet

The IRS Mess That Will See Obamacare Enrollees Owing More Taxes

A new study from a tax preparation firm has found that half of all beneficiaries of Obamacare subsidies for insurance may have had subsidies that were too large, and are going to end up with much larger payments to the IRS this year than they were expecting.

Advertisement

As the Wall Street Journal reported:

As many as half of the roughly 6.8 million Americans who got subsidies may have to refund money to the government, based on one estimate by tax firm H&R Block Inc.

“The ACA is going to result in more confusion for existing clients and many taxpayers may well be very disappointed by getting less money and possibly even owing money,” said Charles McCabe, president of Peoples Income Tax and the Income Tax School, a Richmond, Va., provider of tax preparation and education. “The whole implementation of Obamacare will be frustrating for tax preparers.”

In addition to determining who has to pay a penalty, the accuracy of tax credits is likely to pose challenges. Because people often incorrectly estimate their future income, many Americans may have gotten subsidies—based on their own projections of 2014 income—that were too generous.

Advertisement

For Obamacare enrollees whose subsidies are too high, the average that they may owe back to the IRS is $208, though as the WSJ reported, "some filers got subsidies that were too small and will get larger refunds."

Still - that half of Americans are going to end up owing hundreds of dollars back to the IRS because of "overpayments" for Obamacare subsidies might come as a surprise to those millions of people.

Hat tip: Justin Green.

Join the conversation as a VIP Member

Recommended

Trending on Townhall Videos

Advertisement
Advertisement
Advertisement