logi_cal869 is correct that many poor do file for EITC.
But you must realize that “poor” is effectively defined up to approx. $32,300 for a family of four for Expanded Medicaid eligibility; $15,700 for an individual; $23,500 for a family of four under traditional Medicaid eligibility criteria (all these figures vary slightly by state).
Quite a number of the poor will find their income in the gap between traditional Medicaid eligibility and the lowest subsidized bronze level exchange policy in states that did not expand Medicaid. Some of these will get stuck with a penalty and no coverage. Many others will not get a penalty because no affordable policy exists relative to their income.
Penalties for being uninsured increase dramatically over the first three years:
• 2014: $95 per adult, $47.50 per child, up to $285 per family or 1 percent of the adjusted household income
• 2015: $325 per adult, $162.50 per child, up to $975 per family or 2 percent of household income
• 2016: $695 per adult, $347.50 per child, up to $2,085 per family or 2.5 percent of the household income
• 2017: Will be adjusted for inflation
I was being snarky last night; the EITC concept boils my blood.
Spot-on with that. The really rotten aspect is that no method is yet published to ‘budget’ for Obamacare for the young n healthy...aka working poor and students. The calculators haven’t been published yet. Nor has the methodology for determining the ‘subsidy’...which, ironically, also results in the ‘penalty’ for those with too much coverage.
I will have quite a bit to write about that one when I find out, as my new career requires me to file estimated quarterly taxes and am on my wife’s health coverage...(private sector healthcare, fwiw)