Page 9

All County Welfare Directors Letter No.: 20-10 Page 9 April 30, 2020

Contradictions in Tax Filing Status In some circumstances, counties may receive self-attested tax filing information from an individual that conflicts with other information reported, such as unmarried individuals who self-attest to expecting to file taxes as “Married Filing Jointly” or two individuals that self-attest to claiming the same dependent.

In certain circumstances, when conflicting self-attested tax filing status information is received, the CEW shall follow 42 C.F.R. Section 435.603(f)(5) and construct the MAGI Medi-Cal household composition based on Non-Tax Filer Rules. CEWs shall only use this in the following instances: • Where individuals are unmarried but filing taxes as “Marred Filing Jointly” (MEDIL 19-24); or • If a tax filer is unsure if another individual will be their tax dependent for the tax year in which MAGI Medi-Cal coverage is sought.

For MAGI Medi-Cal household composition purposes, CEWs can accept verification of relationships between household members (such as spouses, registered domestic partners, etc.) via self-attestation. However, an individual is not considered to be married until the marriage has actually occurred (see 42 C.F.R. Section 435.945 and California Family Code Section 300). Any future marriage, including a future marriage by the end of the current tax year, is a change in circumstance and the beneficiary shall report this change within 10 days of the legal relationship change. CEWs may reference ACWDL 17-27 for information regarding same sex married individuals.

Household Composition Rules for Covered California Covered California household composition closely follows Tax Filer Rules as defined in 26 C.F.R. Section 1.36B-1(d). Household composition for Covered California eligibility determinations includes: • The primary tax filer (the first person listed on the tax return); • The primary tax filer’s spouse; and/or • Any tax dependent(s).

Spouses and tax dependents are included in the household composition even if they are not applying for health insurance. Married couples must attest that they will file a joint tax return to be eligible for financial assistance through Covered California. Legally separated or divorced spouse are not included in the household of the tax filer. The tax filer does not have to include their spouse if they are a victim of intimate partner violence or spousal abandonment.