16545: NJ - Healthcare Shared Responsibility Payment

Starting with tax year 2019, New Jersey required all taxpayers to have minimum essential health coverage or to calculate a Healthcare Shared Responsibility Payment if everyone in the household did not have minimum essential coverage. To indicate coverage in Drake Tax, entries need to be made on either the NJ > HCC or NJ > WKL screen, depending on the coverage maintained by the household. Note that federal entries on the HC screen are not carried to NJ. 

• If everyone in the household had minimum essential coverage, click the Yes box on the HCC screen.
  • NJ HCC produces with Part I marked Yes.
  • No penalty is calculated or carried to NJ 1040, page 3, line 53.
  • An X appears beside line 53c to indicate full year coverage. 
• If no one in the household had minimum essential coverage, click the No box on the HCC screen.
  • NJ HCC, Part I is marked No.
  • The penalty is calculated on the worksheet NJ WKL.
  • The Shared Responsibility Payment is carried to NJ 1040, page 3, line 53. 
• If household members had part-year coverage, differing coverage, or exemptions, use the WKL screen to complete the worksheet NJ WKL and  Schedule NJ-HCC. 
  • Complete a separate WKL screen for each member of the household by pressing Page Down.
  • Review the NJ WKL for the calculation of the Shared Responsibility Payment that carries to the NJ 1040, page 3, line 53.

If Form HCC is not producing in View/Print mode, ensure that the income on line 29 is above the filing threshold. If your income on line 29 is at or below the filing threshold, the schedule will not produce as it is not required.