beginning in 2014 you'll have to indicate on your tax forms whether you have health insurance (and your coverage will need to meet minimal essential benefit standards). so if you make more than 133% of the federal poverty limit -- and right now that's $14 856 a year for an individual and $30 657 for a family of four -- the law says you must buy health insurance or pay a penalty on your taxes. you also won't face a penalty for not buying health insurance if you are a member of a religion that's opposed to health care like the christian scientists for example; you're a member of an indian tribe; you're an illegal immigrant; or you're in jail. there's also no penalty to pay if you don't make enough money to file a tax return or if buying health insurance would cost more than 8% of your income after taking into account any employer contributions or tax credits. some people will be exempt from having to buy insurance or pay the tax on the basis of financial hardship including people making just $9 500 a year. if you don't fall into one of those groups you'll need to buy insurance. and remember that many people with low incomes will for the first time get health insurance through medicaid (meaning they won't pay a premium).
under the affordable care act how does the "tax" on the uninsured work?