Americans with Obamacare subsidies received reduced tax refunds - KWWL - Eastern Iowa Breaking News, Weather, Closings

Americans with Obamacare subsidies received reduced tax refunds

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(NBC) -

Thousands of Americans got an Obamacare surprise on their tax return this year.

According to tax preparation service H&R Block, 61 percentage of its clients who received a subsidy from the Affordable Care Act saw their refund reduced by an average of $729.

The reason: Those individuals underestimated their 2014 income when they signed up for health insurance a year earlier.

If you received a subsidy based on an estimated income that turned out to be lower than your actual income, you must replay a portion of the subsidy.

H&R Block said 13 percent of its returns involving subsidies saw no change in refunds, while 25 percent actually saw their refund increase because they overestimated their 2014 income. 

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