What is the HCTC?

The Health Care Tax Credit, or HCTC, is a tax credit given out by the federal government to help eligible individuals and their families pay for health insurance.

The tax credit covers 72.5 percent of your premium. You pay the other 27.5 percent. For example, if your premium is $100, the federal government pays $72.50, and you pay $27.50.

There are two ways you can receive this credit. You can choose to receive the credit monthly, as your premium is due, or annually as a credit on your federal tax return.