Does commercial insurance become a 70% write-off too (matching the business use percentage) or can you deduct the full difference between personal and commercial rates?

You would deduct the commercial insurance at the same percentage as your business use - so 70% in your case. The simplest approach is to pay for the insurance from your business account and then account for the personal portion (30%) as a draw or distribution to yourself. If you're using the standard mileage rate though, insurance is already built into that rate, so you wouldn't deduct insurance separately. That's one of the tradeoffs between the two methods - standard mileage is simpler but gives you less itemized control.

This is important! The luxury auto limits for 2023 kicked in at $20,200 for passenger cars. It'll probably be a bit higher for 2025. Under that limit, you can take larger depreciation deductions. Over that threshold, your annual depreciation gets capped, stretching out the deductions over more years.

That's a great point I hadn't thought about! I just double checked and thankfully mine shows coverage for all 12 months for both me and my kids. But what would have happened if there was a mistake and you'd already filed? Would you have needed to amend your return?

If you'd already filed and later discovered an error on your 1095-B, you typically wouldn't need to amend your return in most cases. Since 2019, when the tax penalty for not having health insurance was reduced to $0 at the federal level, there's generally no direct tax impact. However, it's still important to get the form corrected by contacting Medicaid, as having accurate records of your health insurance coverage can be important for other reasons, including potential state requirements or if questions come up later about your coverage history.

You don't need to submit either form with your tax return. Both the 1095-B (from Medicaid) and 1095-C (from your employer's insurance) are informational forms for your records. You do need to accurately answer the health insurance coverage questions in your tax software, indicating that you had coverage all year through a combination of employer insurance and Medicaid. The forms themselves don't get submitted - they're just proof of your coverage if you're ever asked about it.

Thank you! That makes it so much clearer. I was driving myself crazy thinking I needed to enter all the policy numbers and dates from both forms. Such a relief to know I just need to indicate I had coverage all year and keep these forms in my records.

Did you get any kind of confirmation number or anything when they approved it? I just submitted my request and realized I forgot to ask for some kind of reference number.

This is really helpful, thanks! Is there a difference in success rates between calling vs writing a letter for the FTA request?

In my experience, calling is generally faster if you can actually get through to someone. You'll often get an immediate decision during the call. The agent can check your compliance history on the spot and approve the FTA right then. Letters take much longer due to IRS processing backlogs - sometimes 8-12 weeks or more. However, the success rate is probably about the same either way. The FTA criteria are pretty straightforward, and if you qualify, you should get approved regardless of which method you use. One advantage of writing is that you have documentation of exactly what you requested. If you call, make sure to take detailed notes of who you spoke with, when, and what they said.

Can you still report them if they sent it but to the wrong address? Technically my old employer has my wrong address because I moved and never updated them after I quit.

That's a slightly different situation. If they sent your W-2 to the last address they had on file, they've technically fulfilled their legal obligation. The responsibility to provide updated address information typically falls on the former employee. However, if you can prove you attempted to update your address with them and they ignored it, then you might have a case. But in most situations where you simply didn't notify them of your move after leaving, they're considered compliant if they sent it to your last known address.

SSA.gov will show your earnings record but it won't have current year detailed W-2 information in time for tax filing. The detailed info from W-2s typically isn't available through SSA or IRS until May or June of the following year. It's great for verifying past years though!

That's really helpful actually. Is that something I can just write in on the form? Like a specific dollar amount to take out extra? How did you figure out that $50 was the right amount?

Yes, on the current W-4 form, line 4(c) is specifically for additional withholding. You just write in the extra amount you want withheld from each paycheck. We calculated our $50 amount by looking at how much we owed last year ($1800) and divided it by the number of paychecks we each get annually (we both get paid bi-weekly, so 26 paychecks each). That gave us about $35 per paycheck, but we rounded up to $50 to be safe. It's not a perfect science, but it worked well for us. You could do the same calculation based on what you've owed in previous years.

I tried it but found it confusing tbh. Ended up just doing what someone suggested above - using the "married but withhold at higher rate" option and adding a little extra. Way easier and had the same result.