For those of you who like to “game” out your MAGI numbers before the end of the calendar year and are getting their health insurance via the Affordable Care Act (ACA) and Advance Premium Tax Credits, I noticed the most recent DL of 2024 HRB s/w (as of Dec 6) is still using the 2023 Federal Poverty Level ($14,580 - single person) on Form 8962 to calculate which FPL bracket your MAGI falls under (100%, 200% etc). The 2024 FPL for singles is $15,060. I assume the s/w is also using the 2023 FPL for families with 2 or more individuals as well, but I did not verify this.
https://aspe.hhs.gov/topics/poverty-eco ... guidelines
As many people know on this forum who get their health insurance using the ACA, going over an FPL bracket even by 0.01% can cause you to fall into the next bracket which can mean $500+ dollars in extra tax owed even if your MAGI increases by just one dollar when you are up against the corresponding MAGI/FPL bracket top.
Not sure if this is a common occurrence with HRB s/w this early in the tax season since I typically download tax software in January, but this year I did it early for various reasons. I recall TurboTax s/w had some similar issues back in 2021 or 2022 but can’t remember specifics.
The HRB s/w states the next scheduled update isn’t planned until Jan 3, 2025, which is obviously too late to make any last-minute tweaks to your MAGI number where the s/w has a chance of using the correct 2024 FPL in Form 8962.
https://aspe.hhs.gov/topics/poverty-eco ... guidelines
As many people know on this forum who get their health insurance using the ACA, going over an FPL bracket even by 0.01% can cause you to fall into the next bracket which can mean $500+ dollars in extra tax owed even if your MAGI increases by just one dollar when you are up against the corresponding MAGI/FPL bracket top.
Not sure if this is a common occurrence with HRB s/w this early in the tax season since I typically download tax software in January, but this year I did it early for various reasons. I recall TurboTax s/w had some similar issues back in 2021 or 2022 but can’t remember specifics.
The HRB s/w states the next scheduled update isn’t planned until Jan 3, 2025, which is obviously too late to make any last-minute tweaks to your MAGI number where the s/w has a chance of using the correct 2024 FPL in Form 8962.
Statistics: Posted by Spriteman — Mon Dec 09, 2024 7:19 am — Replies 2 — Views 124