Obamacare Penalty

[cwespalmore 0]

My wife and two children were approved as permanent residents in the end of May 2016. They arrived to the USA from the Philippines in June 2016. We signed them up for health insurance through special enrollment, coverage started July 2016. Will i be assessed a penalty for all 3 from January to June? They would not have been able to receive insurance before then. We signed them up as soon as they were allowed. What exceptions would i need to claim? Thank you.

[Suss&Camm 2,213]

10 minutes ago, cwespalmore said:

My wife and two children were approved as permanent residents in the end of May 2016. They arrived to the USA from the Philippines in June 2016. We signed them up for health insurance through special enrollment, coverage started July 2016. Will i be assessed a penalty for all 3 from January to June? They would not have been able to receive insurance before then. We signed them up as soon as they were allowed. What exceptions would i need to claim? Thank you.

No, you can fill out 8965 coverage exemption form, claiming exemption type C for those months. She will have to opt to be a tax-resident for all of 2016.

 

I'm unsure about the month of June... You might have to claim exemption B (short gap) for that month...

 

Oh and you will fill all ppl and exemptions on part III for all of them.

Edited January 25, 2017 by Suss&Camm

[Suss&Camm 2,213]

Just found this:

 

"U.S. citizens" (or tax residents, you will opt this) "living abroad are subject to the individual shared responsibility provision. However, U.S. citizens who are not physically present in the United States for at least 330 full days within a 12-month period are treated as having minimum essential coverage for that 12-month period regardless of whether they enroll in any health care coverage."

 

So also a partial month living abroad can be claimed since it also says in the form instructions that being covered just one day means being treated as covered for the whole month.