Which statement about Form 1095-A is false?

Form 1095-A is primarily used to report information regarding health coverage under the Affordable Care Act (ACA). It provides essential details to the IRS as well as to taxpayers about their health insurance through the Health Insurance Marketplace. Specifically, it indicates whether individuals had minimum essential coverage, which is necessary to determine compliance with the ACA's individual mandate.

The form does not directly indicate tax liabilities for individuals; rather, it serves as a reporting vehicle for insurance coverage and related premium tax credits. It also does not report individual shared responsibility payments. Those payments are typically reported on Form 1040, and Form 1095-A itself does not detail what taxpayers owe. Instead, Form 1095-A helps individuals reconcile the premium tax credits they may have received when filing their tax returns, which is a separate issue from indicating actual tax liabilities or shared responsibility payments. Therefore, the statement regarding its role in reporting individual shared responsibility payments is not accurate.