There is a chance if you purchased health coverage from the exchange that you did NOT estimate your income for 2014 accurately. If you were unlucky enough to guess your income incorrectly, and now that you are filing your tax return you discover that you actually DON’T qualify for the advance premium health credit that you’ve been receiving all along, well, you are in trouble.
These taxpayers will end up with a lower refund than expected, or could end up with a balance due at the end of the year as the premium credit is reconciled on the tax return. The government will expect the taxpayer to pay back excess advance health credits that were received in error when the tax returns are filed.
For these individuals who owe, IRS will at least abate any late payment or estimated tax payment penalties that arise due to this situation. To get this penalty waiver, the tax payer must file on time and be otherwise current on tax obligations. The actual procedures are in Notice 2015-9. They generally involve attaching a note and marking the appropriate box on form 2210 with is attached to the return.