For most people, the Affordable Care Act has no effect on their 2013 federal income tax return. For example, you will not report health care coverage under the individual shared responsibility provision or claim the premium tax credit until you file your 2014 return in 2015.

However, for some people, a few provisions may affect your 2013 tax return, such as increases in the itemized medical deduction threshold, the additional Medicare tax and the net investment income tax.

Here are some additional tips:

Filing Requirement: If you do not have a tax filing requirement, you do not need to file a 2013 federal tax return to establish eligibility or qualify for financial assistance, including advance payments of the premium tax credit to purchase health insurance coverage through a Health Insurance Marketplace. Learn more at HealthCare.gov.

W-2 Reporting of Employer Coverage: The value of health care coverage reported by your employer in box 12 and identified by Code DD on your Form W-2 is not taxable. Learn more.

Information available about other tax provisions in the health care law: More information is available on IRS.gov regarding the following tax provisions: Premium Rebate for Medical Loss Ratio,Health Flexible Spending Arrangements, and Health Saving Accounts.

More Information

Find out more tax-related provisions of the health care law at IRS.gov/aca.

Find out more about the Health Insurance Marketplace at HealthCare.gov.

Taking money out early from your retirement plan may trigger an additional tax. Here are
seven things from the IRS that you should know about early withdrawals from retirement
plans:

1. An early withdrawal normally means taking money from your plan before you reach age 59½.
2. If you made a withdrawal from a plan last year, you must report the amount you withdrew
   to the IRS. You may have to pay income tax as well as an additional 10 percent tax on the
   amount you withdrew.
3. The additional 10 percent tax does not apply to nontaxable withdrawals. Nontaxable
   withdrawals include withdrawals of your cost to participate in the plan. Your cost includes
   contributions that you paid tax on before you put them into the plan.
4. A rollover is a type of nontaxable withdrawal. Generally, a rollover is a distribution to
   you of cash or other assets from one retirement plan that you contribute to another
   retirement plan. You usually have 60 days to complete a rollover to make it tax-free.
5. There are many exceptions to the additional 10 percent tax. Some of the exceptions for
   retirement plans are different from the rules for IRAs.
6. If you make an early withdrawal, you may need to file Form 5329, Additional Taxes on
   Qualified Plans (Including IRAs) and Other Tax-Favored Accounts, with your federal tax
   return.
7. The rules for retirement plans can be complex. The fast, safe and free way to prepare and
   e-file your tax return is to use IRS Free File. Free File offers brand-name software or
   online fillable forms for free. Free File software will pick the right tax forms, do the
   math and help you get the tax benefits you’re due. No matter how you prepare your taxes,
   you should always file electronically with IRS e-file. More than 80 percent of taxpayers
   e-file for faster refunds or for easier electronic payment options.

More information on this topic is available on IRS.gov.

Additional IRS Resources:

• Tax Topic 557 – Additional Tax on Early Distributions from Traditional and ROTH IRAs
• Tax Topic 558 – Additional Tax on Early Distributions from Retirement Plans, Other Than
  IRAs
• IRA FAQs – Distributions (Withdrawals)
• Publication 590, Individual Retirement Arrangements (IRAs)
• Publication 575, Pension and Annuity Income
• 1040 Central