Why would my under age 19 daughter’s medi-cal effect our Covered California subsidies?
We just want the subsidies in Covered CA and don’t want Medi-Cal for your kids.
We went direct and get coverage from an Insurance Company without subsidies for the kids and the adults will stay on Covered CA.
Do we still have to complete the Redetermination Form?
If you are getting subsidies and your kids qualify for Medi-Cal, you have to complete the Redetermination Form or it can really mess you up. Even if you don’t want the subsides. That’s how and the why subsidies work. It’s part of Line 37 of your 1040 MAGI Income Qualification
Western Center on Law & Poverty = Getting & Keeping Coverage for Low Income California’s
It’s part of Line 37 of your 1040 MAGI Income Qualification.
Technical Resources & Links
DHCS 4.8.2014 Guidance Discontinuance from Medi-Cal
Guidance on Release from Medi-Cal
The state statute establishing the upper income limit for TLICP sets the limit at 261% FPL. Welf. & Inst. Code § 14005.26(b). But because the income is determined according to MAGI methodology, which provides for an across the board 5% income disregard (see Welf. & Inst. Code § 14005.64(b)), the upper income limit for children in TLICP is 266% FPL.
A qualifying child dependent for tax filing is a child residing in the United States, Canada, or Mexico under 19 (or under 24 if a full-time student) at the end of the
calendar year who is the taxpayer’s child (whether natural, adopted, step, or foster); brother; sister; stepbrother; stepsister; half-brother; half-sister; or one of their
• lives with the taxpayer for more than one-half of the taxable year;
• has not provided over one-half of their own support for the taxable year; and
• has not filed a joint tax return with a spouse in that taxable year.76
The age requirement is waived for adult children who are permanently disabled.77 The requirement to live with the taxpayer is waived for full-time students, so long as they are not part of another tax household.78 When two parents can claim the child but do not file a joint tax return, the child is considered the qualifying child of the parent with whom the child lives with more during the tax year. If the child lives with both parents equally, the child is considered the qualifying child of the parent with the highest adjusted gross income.79 The parent claiming the child is known as the custodial parent. The custodial parent can choose to not claim the qualifying child as a dependent by signing IRS Form 8332. The non-custodial parent must attach this form to the return for that taxable year and may include the child in the household when claiming for premium tax credits.80 Western Center on Law & Poverty = Getting & Keeping Coverage for Low Income California’s