Healthcare.gov list three specific ways an expat may be exempt for mandated Obamacare health insurance.
- If you’re a U.S. citizen or resident living abroad: You can claim the coverage exemption for any month during your tax year that’s included in the 12-month period
- If you’re a U.S. citizen who’s a bona fide resident of another country or a resident alien of a country with which the U.S. has an income tax treaty: You can apply the exemption for the entire year.
- If you’re a resident alien who’s a citizen or national of a country with which the U.S. has an income tax treaty with an applicable nondiscrimination clause, and who’s a bona fide resident of a foreign country for an uninterrupted period that includes an entire tax year: You can apply the coverage exemption for the entire year.
How to claim this exemption
- You can claim this exemption when you file your 2016 federal income taxes. Most people file their taxes for 2016 by April of 2017.
- The IRS will publish information about claiming exemptions on 2016 tax returns later in 2016.
- You must qualify for another exemption or pay the penalty for the months of 2016 you don’t have coverage. Learn more about the penalty.