Obamacare penalty PLUS - delayed tax refunds for those who need them most

Obamacare penalty payers ask, 'Where's my refund?'

I, like so many Americans, simply cannot afford any of the Obamacare offered plans. So, I decided for at least 2014, the penalty was the only option. I filed my tax return early because I really really need the refund money. As many of you can understand, I work, but am underemployed, a single mom and barely scrape by. This winter my utilities bills are crushing me - along with a lot of other expenses.

So, when I logged onto the "where's my refund" site of the IRS repeatedly and got "processing" - repeatedly, I wondered what was up. No explanation at all. Turns out, I'm not the only one.

This year, Ard said her refund is taking longer -- and she's blaming Obamacare. Ard, who went without health insurance last year, doesn't mind having to pay a $160 Obamacare penalty as part of her 2014 tax return. But she says her $7,124 refund is on hold, and the IRS won't tell her why.

Ard is not alone. Scores of readers have written CNNMoney that they too were subject to the Obamacare penalty and that their refunds are taking longer than usual. Ard has rallied more than 1,000 people to a Facebook page devoted to those in a similar situation.

Meanwhile, the IRS is paying oodles of money to people filing with stolen or false info, people who owe money just don't file, the uber rich...well that's a whole other story. And who gets hurt the most? Hardworking people just getting by. I'm pretty sure this is exactly what our forefathers tried to prevent, and it sucks, big time.

No recourse, No help, No voice - the msm won't report this so I'm putting it here to vent and hope it gets some publicity as another example of how the average working people are so getting screwed .

money.cnn.com...

a reply to: Maluhia

There was a similar thread a week ago related to "subsidy abuse" by a large percentage and they haven't resolved it yet with a decision.

I received my refund fast (10 days) and my penalty was $286 for no insurance.

It's ironic that most of the people complaining about the delays and the penalties are the same ones that were begging for "free" insurance...

Not saying you are one of those OP, but so far this tax season most of the ones complaining are the ones shocked that they have to repay their "free subsidy", pay penalties for not being "freely" insured, etc.

I couldn't afford my affordable health care either so I will also be penalized. They can wait until the last day to get it as far as I'm concerned. I'm just glad I wasn't one of those who were shocked that "free" wasn't actually "free" in the end.

I hope you get your refund back sooner than later. This is the first year out of many that I actually do not need mine and I'm more thankful than I can say for that.

a reply to: Granite

Yes, I've read there are issues relating to that, but this is different. This is no subsidies or exemptions sought, flat out willing to pay the penalty people, getting zero to little information as to why their refunds are not being processed. I guess we're considered subversives and they need time to put us on a watch list...lol...I think.

a reply to: Maluhia

It's probably just another one of those "unspoken" penalties for not bowing down like a good beaten down citizen should...

a reply to: Kangaruex4Ewe

It's ironic that most of the people complaining about the delays and the penalties are the same ones that were begging for "free" insurance...

Can you provide a link to stats for that? It may be true, but real people who did not complain and are willing to pay the penalties - because they truly cannot afford health insurance - and don't qualify for federal for help - BECAUSE THEY WORK are being penalized.

I am fully aware that free never means free

a reply to: Maluhia

I don't need a link for it. I have a direct family member that files taxes with Jackson Hewitt. More people have been pissed about their refunds this year than any year they can remember in the years they've been there.

I figured you were aware that free wasn't always free and that's why I said that I wasn't talking about "you".

I've no doubt they are punishing folks. That seems about right to me. I wouldn't be shocked at all if they came out tomorrow and fessed up to it. As usual there would be nothing we could do about it but wait for them to do their jobs and send out people's refunds.

You can wait for your money but they'll not wait for theirs. I've been there and done that. It's not right and it's not fair, but there's not a lot that the average person can do about it.

Part of the problem is bureaucratic mincemeat....

800,000 Obamacare Customers Given Wrong Tax Info

So I imagine if somebody files and claims no insurance and adds the penalty, the IRS might be confused.

I will be paying a penalty as well. Their 'affordable' healthcare is NOT affordable.
My husband has healthcare and is still spending a fortune on specialists and medicine.

Being on disability, they make you wait two years before receiving Medicare. It will make two years come November for me, but when my husband was put on disability he waited the two years and they made him wait another two or three months. So I can see paying a fine for myself again next year. Sigh...

a reply to: Kangaruex4Ewe

My apologies, i took your response as a flip dismissal of a real problem because I am ticked at the US governments inability to care that the people who suffer the most are the one's who follow the rules. This is the issue, which you know - criminals and "complainers" are always going to find a way around the system, so we pass laws to try to avert that - problem is, all the laws do is hurt the people who obey the laws and play by the rules.

a reply to: xuenchen

the IRS might be confused.

Lol. Nuff said.

With Lois Lerner gone they just don't know who to hate!

a reply to: Maluhia

No apologies necessary. I'm a struggling joe (joette??) just like you. I can't afford the affordable healthcare. I've been without for over a decade. The worst thing we could have done was let the IRS get anywhere near the handling of healthcare. This is one of the many, many reasons why.

I was being serious when I said I could see them taking longer than necessary as a jab at those that didn't bow down quick enough or deep enough for them. I absolutely believe they are more than capable of such idiotic, unprofessional behavior. I had them pull a refund from me a few years back for not paying some fine in a town me or my husband had never even been to. After they finally admitted their mistake, it took them 4 months for them to issue my refund and then they did it in two seperate checks one week apart. They don't like being questioned, disobeyed, etc.

We see what happened to Tea Party members... We'd be kind of stupid to assume that regular folks were immune to their "games".

The problem is in fixing it. I'm not sure how that could ever be tackled at this point.

Grudgingly paid the 95$ penalty, received refund in less than a week from filing.

So, just more lies, msm source should automatically be considered blatant lie.

a reply to: Kangaruex4Ewe

Its not free lol, my obamacare is 82 bucks a month. Maybe bad for the economy but its not free, You cant even get it if you don't make over 12000 a year and if you don't make that much you are exempt from the penalty. I do not agree with fining people for not carrying insurance. I guess compared to full price insurance it is close to free so Im not really arguing.

If it's any consolation to those of you who chose the penalty-tax, 52% of those who purchased a government subsidized health plan have to repay some or all of the subsidy $$$ Uncle Sam sent to the insurance companies on their behalf. That's because 52% of subsidy recipients UNDER-estimated what their 2014 income would be.

It would have been so much simpler for everyone if the Advance Premium Tax Credit (aka "Subsidy") amount was based on the past year's income, instead of next year's estimated income. ObamaScare is way too complicated and expensive. It's overall goal is to reduce the number of uninsured Americans. Allowing everyone to buy into Medicare, if they wanted to, would have been far more effective... but I guess that concept was too simple, LOL.
-cwm

a reply to: Night Star

I am not for the IRS being involved in anything but if you make between 12000 and 49000 a year, you can get Obamacare cheap and affordable. I cant afford non gov subsidy insurance and that is the only reason I have it, I chose the most expensive policy and it is 82 a month, I signed up 2 friends that male 12600 a year and theirs is 18 bucks a month.

a reply to: carewemust

I noticed that when I signed up a couple of people a few days ago, how are they supposed to know how much they are going to make this year ? I just told them to make sure and claim that amount I gave, somehow lol.

a reply to: Foderalover

Foderalover, if the folks you helped sign up are small business owners, their accountant will do what is necessary to ensure that their 2015 incomes are not more than what they estimated.

Here in Illinois (and other states that expanded Medicaid), if you estimate your income to be under $16,500 for 2015, you will be automatically enrolled in Medicaid. Some don't mind, because it's free. But the hard part is finding a doctor who will see you.

Medicaid pays doctors 40% less than private insurance. The best doctors don't want to, and don't have to accept Medicaid patients. There are 850,000 people within 10 miles of where I'm sitting. There are only 6 physicians within that radius who accept Medicaid patients.

originally posted by: Kangaruex4Ewe
a reply to: Maluhia

It's probably just another one of those "unspoken" penalties for not bowing down like a good beaten down citizen should...

It worse than that. Its taking advantage of folks that cant afford insurance or O"Slama Care or just don't want to buy insurance.

I have heard figures on penalties ranging from a few hundred up to 5 grand. Remember when all the talk was about a simple across the board standard penalty? Well welcome to the real world everyone. They were out to get middle and low income folks to pay for this from the beginning.