How Much Is the Obamacare Tax Penalty?Updated: 2020-10-02 by LegalConsumer Editors
The Affordable Care Act (Obamacare) tax penalty has been set to zero, but some states have enacted their own health insurance requirements.
When the Affordable Care Act was created, one of its cornerstone ideas was that all Americans should have health insurance. Until January 1, 2019, you would have faced a federal tax penalty for being uninsured -- unless you qualified for a specific exemption -- but the Trump administration set that penalty to zero.
Now, you'll have to report your coverage status on your federal tax return, but you won't have to pay a federal tax penalty if you aren't covered.
That said, as we approach open enrollment for 2021 health plans, six states have passed their own laws imposing tax penalties on residents who don't have insurance and don't qualify for an exemption: California, the District of Columbia, Massachusetts, New Jersey, Rhode Island, and Vermont. Choose your state from the list on this page to learn more.
You may also be interested in:
Essential facts about the Affordable Care Act (ACA or Obamacare) in your state, including whether you must get health insurance, how much it will cost, and how you can save money.
Where to go in your state to get health plans under the Affordable Care Act (Obamacare) and how to get help with the application process.
Learn the five factors that determine what residents of your state will pay for health insurance under the Affordable Care Act