The American Rescue Plan Act of 2021 suspended for 2020 any required repayment of an excess advance premium tax credit. The IRS has now clarified what individuals should do with respect to this law change (IR-2021-84):
However, if you did not obtain the full premium tax credit (e.g., your advance was less than the amount to which you were entitled; you didn’t receive any advance), you must complete Form 8962 to figure your net credit amount.
Note: Reconciliation is still required for pre-2020 years. The IRS may send a letter about a 2019 return to obtain more information before it processes the return.
This is generally adjusted gross income increased by certain items such as tax-free foreign earned income. MAGI usually is used to determine phaseouts of certain deductions and credits.