Millions of Obamacare patients receiving taxpayer-funded subsidies are in jeopardy of having the Internal Revenue Service (IRS) seize portions of their tax refunds due to unreported rises in personal income.
“More than a third of tax recipients will owe some money back, and that can lead to some pretty hefty repayment liabilities,” Vice President for health care programs at Jackson Hewitt Tax Service George Brandes told the Associated Press.
Tax experts say Obamacare customers whose incomes rise should immediately contact the federal or state Obamacare exchange and report the increase, which will raise the cost of their premiums but will help “avoid financial pain come spring.”
“Clients count on that [tax] refund as their biggest financial transaction of the year,” said H&R Block Vice President of Health Care Services Mark Ciaramitaro. “When that refund goes down, it really has reverberations.”
According to the latest Kaiser Health poll, a record low 37% of Americans now support Obamacare.