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No penalty for Medicaid-eligible uninsured, proposed rule says
Modern Healthcare

The Internal Revenue Service will not penalize low-income residents who fail to get health insurance in states that decline to raise Medicaid eligibility under the healthcare reform law, HHS said in new proposed regulations. Two proposed rules from HHS and the IRS issued Wednesday describe how the government intends to apply the law’s individual insurance mandate effective in 2014. Tax filers will need to begin verifying in 2015 that all of their dependents have qualifying coverage or pay tax penalties for them.