Smaller premium tax credits (PTCs) ahead?

The Centers for Medicare and Medicaid Services (CMS) has proposed changes to health insurance marketplaces, effective in 2018, which could result in reduced PTCs for low-income taxpayers. Taxpayers who meet low-income requirements and have enrolled in a health insurance marketplace plan may qualify for PTCs. Proposed CMS regulations alter the way PTCs are calculated. If enacted, the changes would provide a lower level of benefits, which could result in lower premiums and lower PTCs.