Los Angeles tax reduction and avoiding health insurance penalties

February 4th, 2018

Although a major portion of what we do centers around issues like Los Angeles tax reduction scenarios, we know a thing or two about healthcare requirements as well. In fact, our experts understand the things that people can do to avoid paying health insurance penalties.

Here’s a brief rundown that you can keep for your reference. Keep in mind that we are the professionals when it comes to tax resolution. As part of that, we like to offer our valued clients detailed information in a number of key areas.

Partial Exemption

It’s important to remember that partial exemption is available. This is for people who had health insurance for part of the year but gave it up for whatever reason. Make sure that you get some expert advice here because based on the time you were insured, you might not have to pay any penalty at all.

This shared responsibility payment has a bit of wiggle room for people who didn’t file a tax return as well. Keep in mind this only applies to people who are not required to file a tax return. It’s not a good idea not to file your taxes so you can avoid paying a healthcare penalty under any circumstances.

There are quite a few different hardship exemptions to help you get around paying a healthcare penalty as well. For example if you being evicted or foreclosed on, you get a pass but you need some documentation about the foreclosure or a note from your landlord

Court Documents

Los Angeles tax reduction

Bankruptcy is another option whereby you can get around paying the healthcare penalty. Here you’ll need the court documents as proof to the IRS.

Some of the exemptions are things you might not have considered. For example, the death of a close relative will get you off the hook and so will medical expenses that you cannot afford.

Other Scenarios

There are a few other scenarios to avoid paying this penalty including the situation where you don’t have coverage because you are appealing your eligibility decision.

Here at UnTax, we specialize in taking all of the anxiety out of your tax resolution situation. We pride ourselves on treating each and every client like a member of our own family. What’s more, we use our deep experience to their full advantage.

We pride ourselves on explaining all the options available around your Los Angeles tax reduction choices.