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Health insurance premium tax credit, contribution percentage for 2020

Health insurance premium tax credit

The IRS today released an advance version of Rev. Proc. 2019-29 providing indexing adjustments to provisions under section 36B.


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In general, section 36B provides a refundable premium tax credit to help individuals and families afford health insurance through affordable insurance exchanges. 

  • The applicable percentage table is used to calculate an individual’s premium tax credit.
  • The required contribution percentage is used to determine whether an individual is eligible for “affordable employer-sponsored minimum essential coverage” under section 36B. 

Rev. Proc. 2019-29 [PDF 51 KB] sets out the applicable percentage table for 2020, and provides the required contribution percentage is 9.78% for plan years beginning in 2020.

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