Common use of Current Sources of Income– Monetary, but not quantified Clause in Contracts

Current Sources of Income– Monetary, but not quantified. The IRS is the primary source of income data to verify eligibility for subsidy programs under the ACA. Despite the importance of these data, they have some limitations. Income reported to the IRS is based on tax filings, therefore; there is a time lag on income verification. Some individuals do not file income tax returns and others have changed their filing status. In contrast, insurance coverage is always prospective. Individuals are asked on their application about their current income, which may not match the retrospective IRS income data. To overcome the limitations of IRS data, CMS works with a contractor to provide a commercial sources of current income to the FFE and States. While the funding amounts are not publically available they were included in the cost analysis of this project.