Treasury and IRS Issue Proposed Rules to Tighten Premium Tax Credit Eligibility and Verification
The U.S. Department of the Treasury and the Internal Revenue Service (IRS) on October 14 issued proposed regulations to implement the Working Families Tax Cuts reforms to the Premium Tax Credit (PTC), a refundable tax credit that helps eligible American taxpayers afford health insurance purchased through the Health Insurance Exchanges. The Treasury Department said the proposed rules strengthen eligibility checks, close gaps in the verification process, and help ensure taxpayer-funded subsidies go only to eligible American taxpayers.
Under the proposed rules, beginning in 2027, taxpayer-funded health insurance subsidies would go only to Americans who qualify under federal law; Premium Tax Credit eligibility would be restricted to U.S. citizens, U.S. nationals, and certain lawfully present noncitizens; and new verification criteria would apply to any advance Premium Tax Credit payments. Treasury said the changes to Exchange procedures and operations needed to implement the verification requirements are expected to be addressed in parallel proposed regulations issued by the Department of Health and Human Services under related provisions of the same statute.
"Hardworking American taxpayers should not be forced to subsidize health care for people who are ineligible under federal law," said Treasury Secretary Scott Bessent, adding that the proposed rules implement the reforms enacted by the Working Families Tax Cuts to close eligibility loopholes. "The proposed rules protect eligible taxpayers while strengthening the integrity of the Premium Tax Credit," said IRS Chief Executive Officer Frank J. Bisignano. "The enhanced verification measures are designed to curb improper claims, ensuring these vital tax benefits go strictly to the hardworking Americans who qualify for them."
The Treasury release also noted that the Centers for Medicare & Medicaid Services (CMS) had removed more than 760,000 unverified "phantom" enrollees from the rolls of the Affordable Care Act, resulting in $2.2 billion in savings. CMS Administrator Dr. Mehmet Oz said ensuring health programs serve only those who are eligible is one of the most effective ways to protect those programs and the taxpayers who support them.
Source: U.S. Department of the Treasury press release, October 14, 2026.
Source: 美国财政部
Published by GSM · USA (original Chinese edition)
Photo: 图：位于华盛顿特区的美国财政部大楼（资料图）。摄影：Tony Webster，CC BY-SA 3.0，来源：Wikimedia Commons
