Form 1095-A: Marketplace Coverage and Tax Credit Guide

• Dan O'Donnell
• February 24, 2025
• 6 min read

Form 1095-A, Health Insurance Marketplace Statement, provides the coverage and payment information used to calculate your premium tax credit. If advance credits helped pay for your insurance, you generally must reconcile those payments on Form 8962 with your federal return.

Match the coverage year to your return

A form showing 2025 coverage belongs with your 2025 return, generally filed in 2026. A form for 2026 coverage belongs with your 2026 return, generally filed in 2027. Do not substitute the current calendar year’s credit rules for the rules governing the coverage year.

How to read Form 1095-A

• Part I, Recipient Information: Identifies the Marketplace, policy, recipient, and coverage dates.
• Part II, Covered Individuals: Lists people on the policy and their coverage periods.
• Part III, Coverage Information: Provides monthly enrollment premiums in column A, the applicable second-lowest-cost silver plan benchmark in column B, and advance premium tax credit payments in column C.

The benchmark premium is not necessarily the cost of the plan you bought. If it is missing or incorrect, follow your Marketplace’s instructions or its tax tool. See IRS Form 1095-A guidance for the form’s details.

What if your form is missing or wrong?

Check your Marketplace account and contact the Marketplace for a copy or correction. Confirm names, coverage months, and all monthly amounts. If you changed policies or household coverage, you may receive multiple forms. Use the corrected version when one replaces an earlier form; do not count both.

Wait for accurate information before filing a return that requires Form 8962. If a correction arrives after you filed, review whether an amended return is necessary.

Reconcile advance credits on Form 8962

The credit allowed on your return is based on actual annual household income, family size, and other eligibility conditions. Form 8962 compares the allowed amount with advance payments. You may claim an additional credit or have excess advance payments added to your tax.

2025 and 2026 differ: Enhanced premium credit rules applied through 2025, including possible eligibility above 400% of the federal poverty line. For 2026, the general income range returns to 100% through 400%, subject to the year’s exceptions and eligibility rules. Income-based limits on repayment of excess advance credits no longer apply for tax years after 2025. Check the IRS premium tax credit FAQ.

Other coverage and self-employment

An employer’s offer can affect eligibility even if you buy Marketplace insurance. Review Form 1095-C and employer affordability rules. Form 1095-B is a different coverage record and does not replace Form 1095-A for this calculation.

If you also claim a self-employed health insurance deduction, coordinate it with the credit under IRS Publication 974. The two calculations can affect each other, and the same premium cannot receive both benefits.

Keep your Marketplace application current

Report changes in income, household members, and other coverage promptly to reduce unexpected reconciliation balances. If you need more time to prepare your return, a timely personal tax extension extends filing time, but any estimated tax still must be paid by the original deadline.