IRS: PTC Payment Recipients Should Report Changes in Income or Family Size
The IRS yesterday issued a reminder to taxpayers who receive premium tax credit (PTC) advance payments, noting that some circumstance changes could result in the household owing additional money next April.
A number of circumstances can result in a PTC recalculation, like a change in household income, family size, marital status, employer coverage, or address. After pointing out that reporting changes immediately can help taxpayers avoid owing extra money at tax time or receiving a smaller refund check, the IRS noted that some changes may qualify a taxpayer for a special enrollment period.
Click here for more information about the PTC and here to use the Taxpayer Advocate Service’s Premium Tax Credit Change Estimator to calculate how new circumstances may affect advance payments.
Source: Internal Revenue Service