Part IV—Allocation of Policy Amounts

See Line 1 and Line 9 , earlier, to determine whether you need to complete Part IV. If you complete Part IV, check “ No ” on line 10.

Specific Allocation Situations

Allocation Situation 1—taxpayers divorced or legally separated in 2025. You and your former spouse must allocate policy amounts on your separate returns to figure your PTC and reconcile it with your APTC if both of the following apply.

• You and your former spouse were married to each other at some point during 2025 but were no longer married to each other at the end of 2025.

• For 1 or more months of marriage, you and your former spouse were enrolled in the same qualified health plan, or you or an individual in your tax family (as shown on your tax return) was enrolled in the same policy as your former spouse or as an individual in your former spouse’s tax family.

You will allocate between you and your former spouse the total enrollment premiums, the applicable SLCSP premium, and APTC for coverage under the plan during the months you were married. You will find these amounts on your Form(s) 1095-A, Part III, columns A, B, and C, respectively. You and your former spouse may agree to allocate any percentage (from 0% to 100%) of these amounts to one of you (with the remainder allocated to the other), but you must allocate all three amounts using the same percentage. If you do not agree on a percentage, you and your former spouse must allocate 50% of each of these amounts to you and 50% of each to your former spouse.

Policy amounts allocated 100%. If 100% of policy amounts are allocated to you, check “ Yes ” on line 9 and complete Part IV by entering “100” in the appropriate box(es) for your allocation percentage. If 0% of the policy amounts are allocated to you, complete Part IV by entering “-0-” in the appropriate box(es) for your allocation percentage.

Table 5. Repayment Limitation

18 Instructions for Form 8962 (2025)

Example 1. Keith and Stephanie are married at the beginning of 2025 and have three children, Ben, Grace, and Max. In January, Keith enrolls Ben, Grace, and Max in a qualified health plan beginning in January. Keith and Stephanie divorce in July. The children become eligible for and enroll in government-sponsored health coverage and disenroll from the qualified health plan, effective August 1. According to Table 3, Keith and Stephanie follow the rules under Allocation Situation 1, earlier.

Keith claims Ben and Grace as dependents and Stephanie claims Max as a dependent for 2025. Keith and Stephanie agree to allocate the policy amounts 33% to Stephanie and 67% to Keith. Therefore, 33% of the enrollment premium, the applicable SLCSP premiums, and APTC are allocated to Stephanie and 67% of these amounts are allocated to Keith. The allocation is only for the months Keith and Stephanie were married.

On her Form 8962, Part IV, line 30, Stephanie enters Keith’s SSN in column (b) and enters “0.33” in columns (e), (f), and (g). On his Form 8962, Part IV, line 30, Keith enters Stephanie’s SSN in column (b) and enters “0.67” in columns (e), (f), and (g). Stephanie and Keith both enter “01” in column (c) and “07” in column (d).

Example 2. The facts are the same as in Example 1 , except that Keith and Stephanie cannot agree on an allocation percentage. Therefore, 50% of the enrollment premiums, the applicable SLCSP premium, and APTC are allocated to each taxpayer. On their Forms 8962, Part IV, line 30, Keith and Stephanie each enter “0.50” in columns (e), (f), and (g).

Allocation Situation 2—taxpayers married at year end but filing separate returns. You and your spouse must equally allocate (50% to each spouse) certain policy amounts if all of the following conditions are met.

• You were married at the end of 2025.

• You are filing a separate return from your spouse.

• You or an individual in your tax family was enrolled in the same policy as your spouse or an individual in your spouse’s tax family at any time during 2025.

Married individuals who file separate returns are generally not eligible to take the PTC. However, you may be able to take the PTC if you meet either of the following conditions.

• You file a return as single or head of household (see Exception 1 under Married taxpayers, earlier).

• You file a return as married filing separately due to domestic abuse or spousal abandonment (see Exception 2 under Married taxpayers, earlier). If Exception 1 or Exception 2 applies, follow the rules in the next paragraph. If neither exception applies, see Married filing separately (not in Exception 2—victim of domestic abuse or spousal abandonment) , later.

Exception 1—certain married persons living apart or Exception 2—victim of domestic abuse or spousal abandonment. Enter “0.50” in columns (e) and (g) of the appropriate line in Part IV to allocate the enrollment premium and APTC. Leave column (f) blank because you do not allocate the applicable SLCSP premium. Instead, enter the SLCSP premium that applies to your coverage family on lines 12 through 23. See Example 1 and Example 2, later.

If you enrolled in coverage in the Marketplace with