Premium tax credit eligibility checklist for 2026
Test income, Marketplace enrollment, filing status, dependency, employer coverage, government coverage, and premium payment.
PTC eligibility requires more than an income in range. At least one coverage month must involve a qualified Marketplace plan, an eligible tax household member, no affordable minimum-value employer offer or government coverage, and timely premium payment.
Run the taxpayer-level tests
Confirm household income, joint-filing status when married unless an exception applies, and that no one can claim the taxpayer as a dependent. The 2026 standard income range is 100% through 400% FPL.
Run the person-and-month tests
For each enrolled person and month, confirm qualified Marketplace coverage, no eligibility for affordable minimum-value employer coverage, and no eligibility for Medicare, Medicaid, CHIP, TRICARE, or another disqualifying government program.
Decision example and mistake
A couple has income in range and buys a Marketplace plan, but one spouse had an affordable employer offer for the same months. Income alone does not preserve that spouse's credit. The common mistake is checking eligibility once for the household instead of by person and month.
Create a person-by-month eligibility table
List every tax-household member and all twelve coverage months. For each enrolled person, record Marketplace enrollment, premium payment, employer offers, government-program eligibility, and any filing-status or dependency issue. Household income determines the credit calculation, but coverage eligibility can differ by person and change during the year.
When facts change, update the affected rows rather than rerunning only a household-level test; the eligible people and months drive the Form 8962 result.
Filing and enrollment checks
- Verify qualified Marketplace enrollment from Form 1095-A or the account record.
- Test affordable minimum-value employer coverage for each affected person.
- Resolve joint filing, dependency, and government-coverage rules before completing Form 8962.
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Authorities used for this guide
- IRS: Premium Tax Credit overview
Core eligibility conditions and the requirement to file Form 8962 - IRS: Questions and answers on the Premium Tax Credit
Current 2026 eligibility, household income, change reporting, reconciliation, and full repayment - U.S. House Office of the Law Revision Counsel: 26 U.S.C. section 36B - Premium tax credit
Statutory PTC eligibility, household income, coverage months, and credit calculation