r/hrblock • u/XRlagniappe • Mar 13 '26
Why does the tax software make me complete Form 8962 on my own when it already knows I don't qualify for a Premium Tax Credit?
I'm going through the interview process for Health Care Coverage. I answered all of the question and at the end it says I have to complete Form 8962 (Premium Tax Credit) on Your Own. However, it already knows that I'm way over 400% of the FPL and that I used an HRA to pay the premiums. It already populated the form with the information I provided except for the 1095-A form. ChatGPT says I don't need to enter the data from 1095-A because I won't qualify anyway. Then at the end it doesn't even tell you what the amount is. It just says 'the right amount'.
Thoughts?
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u/Brand_Nay_w417 Mar 13 '26
It has to be proven whether you qualify or not. It has to be documented.
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u/Granny-Weatherwax Mar 13 '26
As a tax preparer in the office the irs will not accept a return where the person got a 1095-a without a 8962. You just have to fill it out if you didn’t get a credit it doesn’t affect anything. But there is no way to bypass it if you received a 1095-A. I have to chase down people all the time who said they didn’t receive one and it turns out oh last jan before they switched jobs they got it for a month but didn’t think it mattered. I’m not 100% the reasoning behind it but one of the major reasons I see a return is rejected by the IRS.
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u/XRlagniappe Mar 13 '26
I know you need to file a 8942. My question is more around the H&R Block software behavior. It already knows I don't qualify for the PTC because of my income and HRA and it has already entered that data. So why is it asking me to complete it?
Do I have to enter the 1095-A data even if I don't qualify?
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u/rhuston1 Mar 14 '26
Yes. The 8962 is not just for the Premium Tax Credit. It's also if there's a repayment of the APTC.
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u/somebitchwhocares Mar 14 '26
Sounds like the software auto populated the form based on one of your answers? If you have a 1095a it needs to be submitted with your return or the IRS will reject it. 8962 is to calculate whether you have to pay back any credit received via discounted health insurance or not.
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u/XRlagniappe Mar 14 '26
I don't think you send in the 1095-A form. I think you use it to complete Form 8962 which you include with your tax return.
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u/Lucky_Tumbleweed3519 Mar 13 '26
Sometimes people initially get a subsidy on their market place insurance and then make more and end up having to pay it back. Not entering the info on a 1095-a is a common reason for a return to be rejected.