Today's Law As Amended


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AB-2564 Individual Shared Responsibility Penalty: waiver: health care service plans.(2021-2022)



As Amends the Law Today


SECTION 1.

 Section 61010 of the Revenue and Taxation Code is amended to read:

61010.
 (a) A penalty in the amount determined under Section 61015 shall be imposed on a responsible individual for a failure by the responsible individual, the applicable spouse, or an applicable dependent to enroll in and maintain minimum essential coverage pursuant to Section 100705 of the Government Code for one or more months, except as provided in subdivision (e) or  Section 61020 and 61023. This penalty shall be referred to as the Individual Shared Responsibility Penalty.
(b) A penalty imposed by this section with respect to any month shall be included with a responsible individual’s return under Chapter 2 (commencing with Section 18501) of Part 10.2 for the taxable year that includes that month.
(c) If an individual with respect to whom a penalty is imposed by this section for any month is a dependent of another individual for the other individual’s taxable year, including that month, the other individual shall be solely liable for that penalty.
(d) If a responsible individual with respect to whom a penalty is imposed pursuant to this section for any month files a joint return for the taxable year, including that month, that responsible individual and the spouse or domestic partner of the individual shall be jointly and severally liable for the penalty imposed.
(e) (1) The Franchise Tax Board shall waive the penalty imposed by this section if either of the following applies:
(A) The responsible individual was enrolled in minimum essential coverage, as defined in Section 1345.5 of the Health and Safety Code, and maintained that minimum essential coverage for at least six consecutive months during the taxable year.
(B) The responsible individual had one or more verified online, telephonic, or in-person meetings during the taxable year with an individual employed by Covered California, an entity contracted with Covered California, or a county health care department to discuss the responsible individual’s health care insurance purchasing options. The discussion shall include the following:
(i) Costs of health plan premiums and deductibles.
(ii) Whether the responsible individual, an applicable spouse, or an applicable dependent would be eligible for Medi-Cal, tax credits, or subsidies that would reduce the cost of a health care insurance plan.
(2) To waive the penalty imposed by this section pursuant to subparagraph (B) of paragraph (1), the Franchise Tax Board shall require a responsible individual to include verification of the meeting, subject to penalties of perjury, and documentation regarding the costs of health plan premiums and deductibles.
SEC. 2.
 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.