Attention All Pre-65 HCTC Eligible Insurance Participants  
The process of HCTC payments changed as of January 2017.  If you are a Pre-65 HCTC Eligible Retiree/Dependent participant, you will now be responsible for making the 27.5% insurance premium payment each month you remain enrolled in the Advanced Monthly Payment program (AMP).  The plan administrator will no longer manage your payment process.  To avoid having to pay 100% for your insurance premium each month, the IRS/HCTC must receive your 27.5% premium payment no earlier than the 22nd of the current month but before the 10th of the month the premium is applied to.  Example:  Your July premium payment must be received by the IRS/HCTC between June 22 and July 10. If you send in your payment at any other time, it will not be applied to your July insurance premium.  

 

Updated process

• Whether newly enrolled in the IRS/HCTC Advanced Monthly Payment Process (AMP), or an HCTC participant transitioning from the “interim AMP process” established in July 01, 2016, the new program managed completely by the IRS/HCTC has changed.  You will receive a “Welcome” letter to the new program, effective January 01, 2017.  It is extremely important to save this letter once received. 

  • The IRS/HCTC “Welcome” letter will include your individual “Participant Identification Number” (PIN) at the top of the page.  This PIN is your account number and will enable the IRS/HCTC to identify you and the cost of your plan as well as your length of eligibility for the HCTC program.  The PIN must be included each month on your payment voucher, along with your form of payment (check/money order/ certified check only) for your 27.5% insurance premium payment.

  • It will be your responsibility to make sure the information on your form is correct and all areas are completed properly, especially the PIN number, prior to mailing it to the IRS/HCTC.  If you did not receive the forms from the Plan Administrator, please follow the instructions outlined in the letter you received from the IRS/HCTC, to complete the voucher. 

    • If you intend to complete the form electronically for you to print and mail you must download and save the voucher to your computer. 

    • Once downloaded and saved to your computer, you will be able to fill out the form electronically.  By completing the top portion of the form, the bottom portion of the voucher will automatically populate. 

    • If you don’t have a computer or if you have difficulty with downloading the voucher, we suggest you ask a family member, a friend or a local business center to print the voucher to complete it manually using a pen. You can make multiple copies for future payments for the remainder of the year as well.   

  • For many of you already enrolled in the “Interim” Payment Process prior to January 2017, the plan administrator, has taken the necessary steps to transition your eligibility information to the IRS/HCTC:

    • Your completed 13441-A IRS/HCTC form

    • Made your January 2017 of 27.5% premium payment to the IRS/HCTC.

    • Provided the IRS/HCTC with all your eligibility documents collected

  • You must make your payment directly to the US Treasury-HCTC and mail your payments directly to the IRS/HCTC address below.

  • Beginning with the February 2017 insurance premium, you will be required to complete and include the voucher with your payment.  Whether you complete the voucher electronically by downloading to your computer or manually with a pen, the bottom of the voucher must accompany your payment. The top portion of the form can be kept for your records. Remember, the payment must be received before the 10th of the month at this address:

  US Treasury – HCTC

  P.O. Box 970023
     St. Louis, MO 63197-0023

• Personal Check, Money Order or Certified Check are the acceptable forms of payment to the IRS.  No credit card payments or other forms of payment will be accepted.

• You must send in the correct amount each month for your 27.5% premium.  If you send in less than the required 27.5% payment for the plan you have selected, your payment will be rejected and you will be required to make a 100% payment to the plan administrator, for that month.  You will have the ability to file for the 72.5% credit on your Federal taxes at the end of the year.  100% payment will be required for each month you fail to send in sufficient money to cover your 27.5% premium OR if the IRS/HCTC does not receive your payment by the 10th of the month deadline. 

• If you pay more than required for your 27.5% premium when making your monthly payment, the IRS/HCTC will return the entire payment.  It will not be applied to future premium payments.  Any refund from the IRS could take several months, therefore, we urge you to send the exact amount requested to cover your 27.5% monthly premium.  

• Please remember you cannot make premium payments in advance of the 22nd of the month before the premium is due, and you cannot overpay in anticipation of credit for future premiums. 

• If you are a member of the Pre-65 Insurance program and pay 100% of the insurance premium but do not qualify for the HCTC program, you will continue to have the option of using the EFT process for making your payments for your insurance each month through the plan administrator.   

  Process for making a timely payment for 27.5% insurance premium for February 2018

• Complete the voucher that you have received from the plan administrator or found on the IRS website from the “Welcome” letter by either downloading electronically or manually with a pen if printed.  Insure that the form includes your Participant Identification Number (PIN)

• Include the personal check, money order or certified check made payable to “US Treasury – HCTC” and the completed bottom half of your voucher in an envelope addressed to:

         US Treasury – HCTC  

         P.O. Box 970023
         St. Louis, MO 63197-0023  

• Mail your 27.5% insurance premium payment for February after January 22nd but in time to be received no later than February 10th.  Allow ample time for your payment to be received by the IRS/HCTC, processed, and placed in your account. 

• Remember, your payment must arrive in the IRS hands no later than the 10th of each month.

• If you send a payment too early, the payment will be returned and you will be required to pay 100% of the cost of your insurance premium for that month.  It may take several months to receive your money from the Treasury Department.   

Unlike the payment process used for people participating in the “interim process” that has just concluded, you will not be paying one month ahead, you will now be paying the month you use the insurance which makes it very important to make your premium payments in a timely manner, to avoid having your insurance benefits terminated for lack of payment. 

 

Information for Filing your Taxes for 2017 If you are claiming the 72.5% subsidy credit for the months you paid 100% of cost of your insurance premium in 2017, the links for information can be found below.
You will need to follow  special instructions to claim the HCTC for 2017 when you file your federal income tax return in 2018. You will file  Form 8885, Health Coverage Tax Credit, and attach documentation that shows that you were an eligible individual for the HCTC and that the premiums claimed for your 2017 coverage were paid.

• Claiming the Health Coverage Tax Credit for Tax Year 2017

• Questions and Answers about Claiming the Health Coverage Tax Credit

Questions and Answers on Qualified Health Insurance Plans for Health Coverage Tax Credit Eligibility