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View Diary: Obamacare Application, Unveiled Today, Full of Win (202 comments)

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  •  Ack! I lost my loooong, well-written comment! (5+ / 0-)

    So now it's a quick question. For folks who qualify for the subsidies... do we have to lay out the money to buy insurance and then receive reimbursement the following year through a tax credit? Or do the subsidies for low-income self-employed people work another way? I live in PA and Medicaid is not looking so good for us...

    Thanks in advance for any answers. I need to go to sleep soon. And thanks to ericlewis0 for posting this diary.

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    by asterkitty on Tue Apr 30, 2013 at 08:22:22 PM PDT

    •  As I recall, you get the reimbursement as a tax (1+ / 0-)
      Recommended by:

      credit the following year.

    •  Actually, I'm incorrect (9+ / 0-)

      This says you'd get the tax credit right away.

      With most tax credits, you have to wait until you file your taxes to get the credit. But the new tax credit available through the Marketplace lets you reduce your costs right away.

      People who qualify can take the tax credit in the form of advance payments to lower their monthly health plan premiums starting in 2014, which can help make insurance more affordable.
      •  that is some bullshit right there...:> (0+ / 0-)

        it is either a tax credit...or a advance tax re-payment/reimbursement/subsidy.

        I am on ss and pay no income taxes, I am assuming a tax credit would not be applied to property tax, haha.

        Is it?:

        1. a direct subsidy mailed to person or person's premium support


        2. tax credit recoverable at tax time, somehow...and for low income seniors, maybe we can trade the tax credits for lottery tickets?

        A Powerball win would work out pretty good insurance premium wise.

        srsly, wtf is it?

        This machine kills Fascists.

        by KenBee on Tue Apr 30, 2013 at 11:32:33 PM PDT

        [ Parent ]

        •  In reading through the site linked in the diary .. (6+ / 0-)

          ... my understanding is that when you fill out the application, you will enter income information similar to what you would report on your tax return.  An estimated tax credit will be calculated based on the income information you provide.  You will then choose how much of the estimated credit to apply to your monthly insurance premium; that amount will be paid directly to the insurance company, reducing the amount that you pay as a monthly premium.  When you prepare your income tax return, you may owe additional tax if you underestimated your income and had too large of a credit applied to your premiums.

          Love one another

          by davehouck on Wed May 01, 2013 at 07:16:24 AM PDT

          [ Parent ]

          •  thanks dave, good explanation altho still... (0+ / 0-)

            doesn't begin to answer the question about low income people who are near, at, or below income tax paying does one get a tax credit when I pay no tax.
            These payments will be gouged out of ss payments and my small savings.

              Your explanation helps but based on the assumption I would even pay tax...and seems to maybe say if I don't, I might have to pay my premium support back?..or part of it? so that is definitely not going to 'work' smoothly, haha....well, maybe once:>...and this is not for me, but for those seniors <65 who are being ripped by junk insurance with very high deductibles and high premiums...and low or no income...but maybe just enough income or savings to scrape up insurance premiums instead of go to Medicaid quality care.
                 There are plenty of low/no income seniors trying to scrape along until they hit 65. Junk insurance is not health care in any sense of the word. It is catastrophe insurance only.
               The 65 year old survivors then get affordable, or more affordable health care, Medicare,.... the lucky ones find their deferred health maintenance has been ok for now, the others find untreated breast cancer, lung cancer, heart disease etc...too bad for them. What a system.

            Looks I will have to fill out the form to see..but the basic question remains: how is a tax credit any incentive to pry money away from low income seniors?

            we will see, thanks.

            This machine kills Fascists.

            by KenBee on Wed May 01, 2013 at 02:14:06 PM PDT

            [ Parent ]

            •  Tax Credits (0+ / 0-)

              reduce the amount of tax for which you are liable. Unlike a deduction, which reduces the amount of income subject to tax, a tax credit directly reduces your tax liability.

              They come in 2 flavors; refundable and non-refundable....the latter can reduce your tax liability to zero but not below; the former (think Earned Income Credit) can increase one's refund by decreasing one's tax liability below 0.

              Fear doesn't just breed incomprehension. It also breeds a spiteful, resentful hate of anyone and everyone who is in any way different from you.

              by awesumtenor on Wed May 01, 2013 at 09:47:14 PM PDT

              [ Parent ]

              •  ok but some of us pay no income tax and have no re (0+ / 0-)

                fund, so how is this helping us again.
                A typical scenario where in their 60's, retired, getting Social Security at 62, paying out of SS and savings for junk is this 'tax credit' helping?

                Maybe there is a maximum insurance premium support that will be no where near real insurance premiums that low income seniors pay for junk insurance...and it will be help, it will be better than nothing etc...but I am asking.

                and I ain't the only one in this bracket...

                This machine kills Fascists.

                by KenBee on Wed May 01, 2013 at 11:30:15 PM PDT

                [ Parent ]

                •  If you have no refund (0+ / 0-)

                  and you have a refundable tax credit, then you will get a refund in the amount of the tax credit

                  Fear doesn't just breed incomprehension. It also breeds a spiteful, resentful hate of anyone and everyone who is in any way different from you.

                  by awesumtenor on Thu May 02, 2013 at 10:34:44 AM PDT

                  [ Parent ]

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