If you can afford health insurance but choose not to buy it, you must have a health coverage exemption or pay a fee. (The fee is sometimes called the "penalty," "fine," "individual responsibility payment," or "individual mandate.")
Learn more about the individual shared responsibility payment from the Internal Revenue Service.
The fee is calculated 2 different ways – as a percentage of your household income, and per person. You’ll pay whichever is higher.
2.5% of your yearly household income.
Maximum: Total yearly premium for the national average price of a Bronze plan sold through the Marketplace
$695 per adult
$347.50 per child under 18
The penalty for 2015 is the higher of these:
The penalty for 2014 is the higher of these:
It depends on your household income. If insurance is unaffordable to you based on your income, you may qualify for an exemption from the fee. Other exemptions are based on low income too. Learn more about exemptions and how to claim them.
The IRS will hold back the amount of the fee from any future tax refunds. There are no liens, levies, or criminal penalties for failing to pay the fee.
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