Question: I had a six figure income in 2013 and a 2 thousand dollar income in 2014. I work freelance and some years are very dry. I projected $29,000 in income when I applied for Covered CA. It didn't happen, but I left it as is because I thought one of the jobs would come through. So, I guess I should have been on Medi-Cal, though. What do I do now? And, will there be an issue since I received premium assistance in 2014? Thank you.
Answer: You are obligated to notify Covered California of your change of income which would make you eligible for Medi-Cal, but there is no penalty for not doing so. If your 2014 income was under 100% FPL ($11,670), any excess tax due to over-payment of advance premium tax credit is limited to $0 for the year. For 1-person househol with income over 100%FPL but less than 200% FPL ($23,400), any excess tax due to over-payment of advance premium tax credit is limited to $300 for the year. Any cost-sharing reductions received through Covered California during the year are not recoverable. Covered California will receive your 2014 tax return data in the summer of 2015 and at some point after that, CC will require you to verify your claimed income if your 2014 AGI was more than 10% higher or lower the income you claimed.