3/1/2024 – Recycling this blog post. See below on how to handle this Federal reject related to 1095-A’s.
3/4/2022 – If you have a rejected Federal return at your site specific to missing Form 8962 or a binary statement not attached, you can now resubmit these returns electronically if they have not already been paper filed. For impacted returns, go back to the Health Insurance menu and on the first page, you will see two “No” options. Choose the option that is applicable to the taxpayers return. You can now resubmit the return and the appropriate statement will be included.
This is a new reject for TY 2021
The e-file database indicates that Form 8962 or a binary attachment with description containing “ACA Explanation” must be present in the return
- It was added so returns may be corrected and avoid being kicked into error resolution, which could cause significant delays in the funding of the tax refund
- This is the IRS top reject across all software vendors
- If the return is rejected, the IRS has information that the taxpayer, spouse, or dependent has Marketplace insurance, and/or received an advance payment for marketplace insurance
- These returns should have the 8962 or PDF attachment with their “ACA Calculations”
- These taxpayers will receive a 1095-A, which providers are required to file by January 31, 2022.
Note: The IRS has not issued guidance on the PDF attachment, or how to incorporate it into the software. You would only need this attachment to show that the taxpayer, spouse, or dependent did not receive premium tax credit payments for TY2021.
If the taxpayer, spouse, or dependent received premium tax credit payments for medical insurance (even for 1 month), complete form 8962 using Form 1095-A
For additional information and to get help locating the documents needed to file a complete, correct tax return visit Healthcare.gov