Form 8965; Marketplace Exemptions

*This image shown above is only applicable for 2018 returns and prior years.

Everyone included in the tax return will be listed in the Form 8965 Health Coverage Exemptions box. You must complete the Exemptions page for each household member listed.

IMPORTANT

"No Full Year Health Coverage" must be selected to include Form 8965; Health Coverage Exemptions to the return. If form is added, but "Full Year Coverage" is selected this return will not include Form 8965.

Select "No Full Year Coverage" for any of the following: (this is not a complete list)

- Any household member that had a change in cost of Qualified Health Insurance plan.

- Household that has different Qualified Health Insurance Coverage.

- Any household member had months without health coverage.

- Dependent included on Form 1095-A not listed on tax return. **

*This is only applicable for 2018 returns and prior years.

Click "Edit" to enter the Coverage Exemptions Detail Page.

IMPORTANT

The information entered here will be used to calculate any Premium Tax Credit or Repayment of the Advance Premium Tax Credit. This is not tax advice. Please see Form 8965 Instructions for information on Health Exemptions.

When Insurance is selected as “Changes in month-to-month” the entire household is considered “not insured” until Form 8965 Page is completed.

Annual Detail:

Use the Annual Detail section anytime a household member had Health Insurance the entire year or no Health Insurance the entire year.

Note: The Annual Detail box can be used regardless if the Health Coverage changed during the year, as long as the individual had qualified health coverage the entire year.

Month-by-Month Detail:

Use the Month-by-Month Detail section for any household member that did not have Health Coverage the entire year.

When this method is used, a selection must be made from the "Type of Coverage" drop-down box for every month (Jan - Dec).

Anytime a Coverage Exemption is selected there must be a Exemption Certificate Number entered. The Health Marketplace mails the Exemption Certificate Number to taxpayers that apply of an exemption.

Taxpayers with MAGI below the federal poverty level, the system completes Form 8965 and nothing more is needed in regards to the Form 8965. A message will display on the Form 8965 Health Coverage Exemptions page, and you will be unable to edit the detail page for household members.