Under the Affordable Care Act (aka ObamaCare) there is a requirement when you file your 2016 income tax return to disclose whether or not you and your dependents were covered by qualifying health insurance during all 12 months of 2016. If you did not have coverage for any period during the year, you will be subject to a penalty unless you qualify for an exemption. This penalty varies depending on your particular situation but is calculated as the greater of $695 per person or 2.5% of your household income. Make sure that your tax return includes the correct information related to your health insurance coverage. Call the Ketel Thorstenson Tax Team with any questions, 605-342-5630.
Ketel Thorstenson, LLP, has over 60 CPA’s on staff and has been serving clients across the region since 1936. With offices in Rapid City, Spearfish, and Custer SD, the firm offers a variety of services including tax planning and return preparation, audit services, QuickBooks, bookkeeping, payroll, business valuation and estate planning.