Details of Public Law 117-2, section 9663 , Application of Premium Tax Credit in Case of Individuals Receiving Unemployment Compensation During 2021

California does not conform to IRC 36B, relating to refundable credits for qualified health plan under the ACA, nor to Subtitle K, Group Health Plan Requirements, of the IRC.

California has a standalone program providing a California Premium Assistance Subsidy (PAS) to applicable return filers that use the IRC section 36B eligibility requirements, with modifications. The California PAS provides financial assistance to pay the premiums for a qualified health plan through the California health insurance marketplace. The federal change allowing individuals with income above 400 percent of the federal poverty level described in Section 9661 increases the federal Premium Tax Credit, which decreases the California PAS amount to zero for these taxable years. This section has no impact on California’s PAS.