Waiver for repayment of advanced premium tax credits (APTC)?
My daughter was enrolled in ACA marketplace health care with APTC in late 2024 while in jail. At the time she was insured as a dependent on my private health insurance, and she also was enrolled in our state's Medicaid program. She was unable to comprehend what was happening while in jail, and we did not know about the ACA enrollment until February of 2025, when I completed my own tax return for 2024 and listed her as a dependent. I paid an addition $750 and filed form 8962, and she dropped the ACA coverage.
She will not be my dependent for 2025 and will be filing her own return. She still had APTC for the first two months of 2025, so she would be responsible for repaying the APTC, but because she is filing as single, no dependents and meets the income requirements, her penalty will be limited to $375. Paying even that will be difficult for her.
Since she did not know she had ACA marketplace health care, and cancelled it as soon as she did know, is there any way to obtain a waiver or otherwise be excused from the repayment?
Posted Mar 2, 2026, 4:15 PM UTC