Tax Penalty for not having insurance during AOS

[jsteve01 0]

Hi my employer dropped our health insurance a few years ago and i have not been able to afford new care through the marketplace.  My question is that as im including my wife on my 2018 return (married June 2018)  is she required to have health insurance during the AOS process?  I obviously owe nothing for the time she wasnt here but what about the last 6 months of the year?  She essentially is in limbo.  No work permit or green card yet.  We just finally had the green card interview last week.

[K1visaHopeful 2,814]

8 minutes ago, jsteve01 said:

Hi my employer dropped our health insurance a few years ago and i have not been able to afford new care through the marketplace.  My question is that as im including my wife on my 2018 return (married June 2018)  is she required to have health insurance during the AOS process?  I obviously owe nothing for the time she wasnt here but what about the last 6 months of the year?  She essentially is in limbo.  No work permit or green card yet.  We just finally had the green card interview last week.

For the remaining months of 2018, yes she will have had to have HI or you will have to pay the penalty for her. Good news is that the policy ended at the end of 2018.

That has nothing to do with USCIS though. That's between you and the IRS.

[Ontarkie 14,221]

~~Moved to Taxes and Finances, from AOS FAmily - THe OP is asking a tax question.~~

[junkmart 320]

We were in a similar situation. While there was a penalty for not having health insurance for 2018, we did not have to pay it and neither do most people with moderate to low income. There are so many exemptions available.

 

Background: We filed a joint return, I have health insurance through my employer, our total income was around $55,000, my spouse was not working. We qualified for exemptions due to health care being unaffordable for all the months my husband was in the US. We did not have to provide any back up to prove that it was unaffordable, we just filled out the exemption form and included it with our joint tax return.

 

I'm attaching a screenshot of a portion of IRS Form 8965 Health Coverage Exemptions. For the months she was not in the US use exemption C. For the months she was in the US, but health insurance was unaffrodable for her, use exemption A.

 

[junkmart 320]

2 hours ago, K1visaHopeful said:

For the remaining months of 2018, yes she will have had to have HI or you will have to pay the penalty for her. Good news is that the policy ended at the end of 2018.

That has nothing to do with USCIS though. That's between you and the IRS.

There was a penalty for 2018, but a lot of people were exempt. If, based on his income, coverage was unaffordable, then he qualifies for exemption from the penalty. When you throw a wife into the mix on that same income, then she would qualify for an exemption also, wouldn't she?

[K1visaHopeful 2,814]

26 minutes ago, junkmart said:

There was a penalty for 2018, but a lot of people were exempt. If, based on his income, coverage was unaffordable, then he qualifies for exemption from the penalty. When you throw a wife into the mix on that same income, then she would qualify for an exemption also, wouldn't she?

It would be based on their joint income. I dont know the limits. Youd fill out the above schedule as you posted and let them decide as far as I know.

[jsteve01 0]

Thanks for all the feedback.  I make more than that so I will have  to review the percentages.