The IRS announced to tax preparation professionals that they will not reject a tax returns because the tax payer has not indicated whether they had health insurance coverage for 2016. Under the ACA, if a tax payer has not had health insurance for most of 2016, they are subject to the Shared Responsibility Payment also referred to as the Individual Mandate.
Covered California has released a table of sources of income and whether they are countable toward the Modified Adjusted Gross Income (MAGI) for the monthly health insurance subsidy. The foundation for the table is the federal 1040 income tax return. The Countable Sources of Income table includes income for the monthly subsidy and whether the income is considered for MAGI Medi-Cal.