How MassHealth & the Health Connector Treat New Payments under the CARES ACT
This MLRI Table shows how MassHealth and the Health Connector count new payments authorized by the Coronavirus Aid, Relief, and Economic Security (CARES) Act: a one-time tax rebate from the IRS in the amount of $1200 per eligible adult and $500 per qualifying child under 17, extended Unemployment Insurance and new kinds of Unemployment Benefits including a temporary $600 per week added benefit. Neither MassHealth nor the Health Connector will count the tax rebate as income. MassHealth will not count the added $600 week unemployment benefit as income, but the Health Connector will count it in estimated annual income. Both MassHealth and the Health Connector will count other forms of Unemployment Benefits as income. But people on MassHealth are protected from losing coverage during the emergency period even if Unemployment Benefits (not counting the added $600 week) put them over income limits. The Health Safety Net and CMSP use the same income counting rules as MassHealth.
Attached is an April 22 update from MassHealth & the Health Connector to Enrollment Assisters with this information.
MassHealth also has an FAQ addressing its treatment of rebates & $600 week UC at the website shown below
Section 2104(h) of the CARES Act provides for disregarding the $600 week UC in Medicaid & CHIP. 26 USC sec. 6409 addresses disregard of tax refunds/refundable credits as income in federally-funded programs.