How do I fill out the Alternative Calculation for Year of Marriage (Form 8962 Part V )?

The Alternative Calculation for Year of Marriage (Form 8962, Part V) is an optional method that may reduce the amount of Excess Advance Premium Tax Credit (APTC) you and your spouse must repay if you married during the tax year and one spouse received APTC through Marketplace insurance.

The calculation is not fully automated in TaxSlayer—you must determine the alternative family size, start/stop months, and alternative monthly contribution amount before entering the values in the software. 

Why Use the Alternative Calculation?

Electing the alternative calculation may reduce the repayment required when more APTC was received than allowed under the standard calculation. This election is available only in the year of marriage.

Eligibility Requirements

You must answer YES to all of the following: 

1. You and your spouse were unmarried on January 1.
2. You were married by December 31.
3. You are filing a joint return.
4. At least one person in the tax family was enrolled in Marketplace coverage before the first full month of marriage.
5. APTC was received during the year.
6. More APTC was paid than should have been, as determined by Worksheet 3 in the Form 8962 instructions.

If all conditions are not met, you cannot elect the alternative calculation.

Program Entries: 

TaxSlayer does not calculate these values for you. You must determine: 

1. Alternative Family Size

• This reflects the pre-marriage family, but only for the spouse who had Marketplace coverage.
• Do not include the spouse who had no Marketplace coverage.
• If both spouses had Marketplace plans, you must complete calculations for each spouse separately.

2. Alternative Start and Stop Months

• Start month = first month the covered spouse had Marketplace insurance.
• Stop month = earlier of:
  • month of marriage OR
  • last month the spouse had Marketplace insurance.
    Example: Married in August; coverage all year → Start = January, Stop = August. 

3. Alternative Monthly Contribution Amount 

This amount represents what the taxpayer/spouse would have paid monthly if they had enrolled in the Second Lowest Cost Silver Plan (SLCSP).

• Determined using Publication 974 worksheets (3–5 worksheets depending on who had coverage).

4. Enter monthly premium amounts

Answer No to 'Do all Forms 1095-A include coverage for January through December, with no changes in monthly amounts? '. You'll need to enter the amounts for all months, January through December, as appropriate, since the alternative calculation doesn't allow for entering the annual totals.