WASHINGTON ― The Internal Revenue Service has opened the new registration and enrollment process for qualified taxpayers to receive the benefit of the Health Coverage Tax Credit (HCTC) on an advance monthly basis during 2017.

Eligible taxpayers can have 72.5 percent of their qualified health insurance premiums paid in advance directly to their health plan administrator each month. Each payment made on their behalf to the health plan administrator lowers their out-of-pocket premium costs.

Taxpayers may be eligible to elect the HCTC only if they are one of the following:

  • An eligible trade adjustment assistance (TAA) recipient, alternative TAA recipient or reemployment TAA recipient,
  • An eligible Pension Benefit Guaranty Corporation (PBGC) payee, or
  • The family member of an eligible TAA, ATAA, or RTAA recipient or PBGC payee who is deceased or who finalized a divorce with them.

Taxpayers can now begin the process of registering with the IRS and providing required information to participate in the 2017 Advance Monthly Payment program for the HCTC. This includes completing and mailing Form 13441-A, HCTC Monthly Registration and Update, with all required supporting documents to the IRS.

Once the registration is complete and they are enrolled in the Advanced Monthly Payment HCTC program, the taxpayer must pay 27.5 percent of their health insurance premiums in advance to the HCTC program. Payments are due by the 10th day of each month and must be made through the US Bank Lockbox system. The HCTC program then adds the 72.5 percent advance portion of the HCTC and sends the full payment to the health plan or third party administrator each month.

For more information, including a helpful set of questions and answers, visit IRS.gov/HCTC.

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Upcoming Tax Dates

August 1 — Certain small employers
Deposit any undeposited tax if your tax liability is $2,500 or more for 2017 but less than $2,500 for the second quarter.

August 1 — Federal unemployment tax
Deposit the tax owed through 06-if more than $500.

August 1 — All employers
If you maintain an employee benefit plan, such as a pension, profitsharing, or stock bonus plan, file Form 5500 or 5500EZ for calendar year 2017. If you use a fiscal year as your plan year, file the form by the last day of the seventh month after the plan year ends.

August 10 — Employees who work for tips
If you received $20 or more in tips during July, report them to your employer Details

August 10 — Social security, Medicare, and withheld income tax
File Form 941 for the second quarter of 2018. This due date applies only if you deposited the tax for the quarter timely, properly, and in full.

August 15 — Social security, Medicare, and withheld income tax
If the monthly deposit rule applies, deposit the tax for payments in July.

View More Tax Dates