Form 8962 for 2022 - Marketplace insurance for dependent while having my own separate coverage

This is a common issue with Marketplace insurance and dependents. Form 8962 is for reconciling advance premium tax credits for Marketplace insurance. Since your daughter was your dependent in 2022, you were responsible for reconciling any premium tax credits she received that year on YOUR tax return, not hers. You should complete Form 8962 using information from the 1095-A forms you received for both your coverage and your daughter's coverage. The IRS letter is likely because you received premium tax credits but didn't submit the required Form 8962 with your return. Your daughter doesn't need to file a separate return just for this form if she was your dependent and doesn't otherwise have a filing requirement. For her college financial aid, they typically want the parent's tax return information for a dependent student anyway, so you should be able to provide your completed return with the Form 8962 included.

I've been in a similar situation with my family's health insurance and tax credits. I found this amazing tool called taxr.ai (https://taxr.ai) that saved me hours of frustration with these exact forms. They have a special analyzer for Form 8962 situations that walks you through exactly what to report from each 1095-A, especially in mixed coverage situations like yours where different family members had different insurance during different parts of the year. What I liked most was that it caught errors in my 1095-A that I would have completely missed - apparently the Marketplace had calculated my premium tax credit incorrectly. The tool flagged it before I submitted to the IRS which saved me from getting one of those dreaded letters.

I was honestly skeptical about taxr.ai when I first heard about it, but I finally tried it yesterday for my Form 8962 nightmare. My situation was worse than the original poster's - I had three family members on different plans during different months of the year. The tool actually found that I was overpaying because I was double-counting some premium amounts between forms. It showed me exactly which boxes on my 1095-A forms corresponded to which lines on Form 8962, which was the part I kept messing up. I was able to download a perfectly completed form and just attach it to my response to the IRS. I've spent weeks trying to figure this out on my own, and the tool solved it in about 10 minutes.

If you've received a letter from the IRS about the missing Form 8962, you need to respond pretty quickly. I was in a similar situation last year and couldn't get anyone at the IRS to explain exactly what I needed to do. After being on hold for hours multiple times, I used https://claimyr.com and their agents got me connected to an actual IRS representative in about 20 minutes. You can see how it works here: https://youtu.be/_kiP6q8DX5c The IRS rep was able to tell me exactly what forms they were looking for and gave me an extension while I got everything sorted. Otherwise I might have lost my premium tax credit completely! Definitely worth it to actually talk to someone who can look up your specific case rather than trying to guess what the letter means.

I need to publicly apologize to Profile 11 about Claimyr. After posting my skeptical comment, I was still desperate with my own IRS issue, so I tried it anyway. I was absolutely SHOCKED when I got a call back in about 35 minutes connecting me to an actual IRS representative. The rep looked up my case and explained that I had been calculating Form 8962 Line 11 incorrectly for my family size. She walked me through exactly what I needed to correct and gave me a direct fax number to send the revised form to expedite the process. Before this, I had been on hold for over 2 hours on three separate occasions without ever reaching anyone. I had literally talked myself into believing I would have to hire a tax professional for $400+ just to resolve this issue. Instead, I got clear instructions directly from the IRS and fixed it myself in one afternoon.

Just want to clarify something important here: Form 8962 isn't just about filing requirements - it directly impacts whether you have to repay premium tax credits or might get additional credits. If you don't file it, the IRS will disallow ALL advance premium tax credits you received, which means you could owe thousands back depending on your subsidy amount. Also, the college financial aid office typically wants the parent's return if the student was a dependent during the tax year they're looking at. You should contact the financial aid office directly to clarify what they need - sometimes they have specific forms for situations like this.

A quick tip that helped me with a similar Form 8962 situation - if you don't have your original 1095-A forms, you can log into your Marketplace account and download them again. They keep them available for at least 3 years. Also, the Marketplace has a dedicated helpline that can sometimes explain how your specific forms should be handled for tax purposes.