Taxpayers Learn of ‘Looming’ Tax from Healthcare Law

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(Millington, TN) Tax time is almost here and people are beginning to learn that the Affordable Healthcare Act is going to cost them next year.

Many people want health insurance but can't afford it and are frustrated to find out they're going to be penalized now for not having it.

Kim Fields was disappointed to learn while filing her taxes that the affordable care act could cost her.

If she doesn't have health coverage before the end of the 2013, she could suffer a tax penalty of $95 in 2014.

“If I still don't have insurance by 2015, it’s going to go up to $325,” said Fields.

That's a stiff penalty, Fields says, for someone who made $17,000 last year, “Why should we be penalized, you know. Perhaps we can't find insurance we can afford. Either we feed ourselves, pay our electric bills or give up our medications.”

Fields says she's been on the phone trying to get health coverage, but can't find anything available for less than $195 bucks a month.

That’s a price she says she might not be able to pull off, “That's probably what I'm going to end up doing, is giving [the government] $325 and still going to be paying for medical, wherever I go, whether it's a cold or a fever or whatever.”

Tax professionals say estimates are given based on the way they understand the Affordable Care Act will work, but even they say details continue to unfold.

“Everybody, even my fellow employees thought we were going to be getting some insurance or some insurance that we can afford and that's not the case,” Fields said.