No state Medicaid expansion. Consumers may qualify for a break if they have a low household income and live in a state that did not expand Medicaid.

General hardship. Hardships that preclude the purchase of insurance include medical expenses that resulted in substantial debt; a close family member passing away; or domestic violence. Hardship exemptions can be granted only through the marketplace.

Other exemptions. These include applicants who:

• Were unable to renew existing coverage in 2014;
• Were without health coverage at the beginning of 2014 but enrolled by May 1, 2014;
• Have income below the requirement for filing a tax return;
• Are a member of an Indian tribe or eligible for coverage through Indian health service;
• Were living abroad;
• Were incarcerated;
• Had a gap in Children's Health Insurance Program coverage;
• Were covered by limited benefit Medicaid or TRICARE;
• Were offered only a non-calendar year plan by theiremployer;
• Were a member of a health-care sharing ministry; or
• Were a member of certain religious sects.  

"If you qualify, receiving an exemption is simple and easy, and means you won't have to pay a fee," the Treasury Department said. "There are a variety of exemptions available. You can claim most exemptions on your tax return, but some exemptions are only available through the Health Insurance Marketplace."

As many as 20 million people who lacked insurance last year could qualify for an exemption, according to a leading tax software firm. However, research continues to show that many Americans still don't understand the tax ramifications of the ACA. As many as one-half of the uninsured are not aware they could face a penalty for being uninsured, according to a recent poll by the Urban Institute.

Without an exemption, uninsured individuals are due to pay $95 per adult or 1 percent of family income this tax season, whichever is higher. Additional information is available at www.IRS.gov.