Rule Number: F8962-070
Rule Text: The e-File database indicates that Form 8962 or a binary attachment with description containing "ACA Explanation" must be present in the return.
In order to correct the error, reference the DataValue (this indicates what person or number the rejection is related to). For more information, regarding how to view the details and data values related to rejections and refusals reference Viewing Reject and Refusals.
- Someone listed on the tax return is listed on a Marketplace policy number, and the Forms 1095-A and 8962 are not included on the tax return. For more information regarding Form 1095-A reference Form 1095-A Health Insurance Marketplace Statement.
- This could be a policy number paid by another individual not on this tax return.
- The information listed for someone on this return is entered incorrectly, and the IRS system is wanting the policy number for the person, who does have a health insurance policy through the Marketplace (double-check the SSN, name, and birthday).
- Contact the customer to obtain their 1095-A and enter into the tax return. Resubmit after they have resigned.
- If any information is entered incorrectly for the persons claimed on the return, correct and resubmit.
- If the customer does not have a Form 1095-A, they will need to contact the appropriate Marketplace to confirm that no one on their tax return had an active policy. In many cases, they have received a quote but a policy was actually opened for them.
- You can find the contact information for the Marketplace here https://www.irs.gov/affordable-care-act/individuals-and-families/the-health-insurance-marketplace.
- If the customer finds there was an active policy they will need to include that policy on their tax return. If this policy was paid for by someone else they will need to complete a shared policy.
- If the customer confirms that no one on the return has an active policy they will need to attach a 8962 explanation as a binary attachment on the tax return.
Instructions for Including 8962 Binary Attachment:
1. Print Sample ACA Explanation Attachment*
2. Have the customer contact the appropriate Marketplace. Failure to contact the Marketplace and enter Form 1095-A will result in the IRS issuing the tax customer a letter and refusing to process the return until Form 1095-A information is reported on Form 8962. The Marketplace contact information is on the form and listed above.
3. After contacting the Marketplace and confirming no policies open have the customer(s) sign the Sample ACA Explanation Attachment.
4. Scan the Sample ACA Explanation Attachment into your machine.
5. Navigate to the bottom of Form 1040.
6. Select ACA Explanation.
7. Upload the correct attachment.
If you need help adding a binary attachment utilize How to Upload a Binary Attachment.
*Sample ACA Explanation attachment is not an official document and should not be treated as an official document. The attachment is for a template only.
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