2015 Tax year question re: Covered Ca form 8962 reconciled with form 1095-A?

Please HELP from any tax accountants. Familiar with CoveredCa filing of form 8962 (in conjunction with form 1095-A). Specifically with Worksheet 1-1, Taxpayer MODIFIED AGI - line 2a. On line 4 of this worksheet, it's asked "Enter excess if any of Form 1040 line 20a over 20b, what does "over" really mean? My $20,500 annual soc sec check is not taxable, as our filing status of Joint Married, we don't come remotely close to $32,000 threshold to pay taxes (we have no income, only a $9000 IRA withdrawal and $1700 annual pension check, along with the lone soc sec check) . So, could you please help me with is this line 4 actually 0 or is it the full $20,500? Any help here would be greatly appreciated!

3 Answers

  • 4 years ago
    Favorite Answer

    From the Instructions to form 8962:

    For purposes of the PTC, modified AGI is the AGI on your tax return plus certain income that is not subject to tax (foreign earned income, tax-exempt interest, and the portion of social security benefits that is not taxable).

    You have to add the untaxed Social Security benefits for determining your Premium Tax Credit.

  • 4 years ago

    You are adding in money that was exempt from your AGI.. It is $20,500

    The 9000 and 1700 are already in your AGI.

  • Anonymous
    4 years ago

    In your case $20,500 + $9000 + $1700 = $31,200.

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