IRS Releases Final Regulations on Federal Premium Tax Credit for Health Insurance Purchased in State Exchanges

The Internal Revenue Service (IRS) issued final regulations under the Patient Protection and Affordable Care Act (Affordable Care Act) on the federal premium tax credit for individuals who purchase health insurance through an Exchange beginning in 2014. The regulations, which were issued on May 18, 2012, impact individuals who enroll in a qualified health plan (QHP) through an Exchange and claim the premium tax credit, employers that sponsor group health plans, and Exchanges that will make QHPs available.

The Aon Hewitt report below discusses:

An overview of the federal premium tax credit;
Eligibility for the premium tax credit;
How employer-sponsored coverage relates to the premium tax credit; and
How the premium tax credit is calculated.

Click here to download the report.