Alternative Calculation Methods on Form 8962

Form 8962 has two primary parts that need to be completed.

Part IV, Allocation of Policy Amounts

You need to distribute SLCSP premiums, enrollment premiums and or APTC on Form 1095-A between PTC and another tax in the event that:

1. On both this tax return and another tax return the policy covered at least a single person.
2. Either:
3.   Form 1095-A indicates an individual not in this tax return or fails to indicate an individual on this tax return
4. Another tax return`s Form 1095-A lists an individual on this tax return.

Where both are affirmative, one has to complete Part IV of Form 8962 to distribute policy amounts.

Part V, Alternative Calculation for Year of Marriage

It would help to use an alternative calculation for the year of marriage if the taxpayer and their spouse married in 2019 and APTC paid for one or both of them. This approach highly likely results in lower repayment of excess APTC than the general rules.

Where Part IV and Part V needs to be completed on a return tax one should begin with Part IV.

To choose either of the alternative methods: 

• Go to the Main Menu of the tax return (Form 1040) 
• From the menu, select Payments, Estimates & EIC
• Then Premium Tax Credit (PTC)
• Finally select Allocating Policy Amounts with Another Taxpayer
•  After choosing the preferred method select OK.
• The Form 8962 Menu will display a new menu for the method chosen.