ACA Reporting

2018 draft ACA forms now available

The IRS has released drafts of the 2018 1094/1095-C and 1094/1095-B forms. The release of these documents is another clear message from the IRS that it’s continuing to enforce the reporting requirements of the Affordable Care Act (ACA), which applicable large employers (ALEs) are subject to. 

Continue Reading

So you got an ACA penalty: How payroll can help employers navigate Letter 226-J

The IRS is continuing to send Letter 226-J to employers for 2015 ACA reporting and employers are turning to trusted advisors for help. One of those advisors is often an employer’s payroll provider, especially since up-to-date payroll data is critical to ACA compliance.

But, with ACA penalties being issued, payroll providers are changing best practices to navigate the shifting requirements that come with Letter 226-J. So what does this mean for employers?

Continue Reading

Get your ACA practices in order before it’s too late

With tax season and last year’s Affordable Care Act (ACA) deadlines in the rear view mirror, you may be tempted to take a break from employee tracking. But if the ACA penalty letters currently being assessed by the IRS aren’t enough to keep your guard up, perhaps a look at last year’s most common ACA filing mistakes can reinforce the importance of ongoing tracking and compliance.

Continue Reading

3 observations about the ACA from SHRM18

I just received a $3 million penalty from the IRS for noncompliance with the Affordable Care Act.”

That’s just one of many similar, eye-opening statements we heard last month at SHRM18, the Society for Human Resource Management’s annual conference.

While health benefits are just one facet of HR covered at SHRM, the reality of million dollar noncompliance penalties put health care in the spotlight and had lots of people talking.

Continue Reading

School’s out for summer – how does that affect teachers’ ACA status?

When the Affordable Care Act (ACA) rolled into town, a lot of things changed for employers, regardless of their industry. However, there are a few types of employers that are given special rules under the ACA. Educational organizations are one of them.

While employers just wrapped up the third year of ACA reporting, there are still challenges that educational organizations encounter when it comes to tracking employees and offers of health coverage.

Continue Reading

The IRS is set to expand ACA e-filing requirements. Are you prepared?

The IRS has proposed a new regulation to expand mandatory e-filings and require more employers to e-file specific employee forms, including the Affordable Care Act’s (ACA) 1095-B and 1095-C. An amendment to the current e-filing regulations, the proposed rule would change employer requirements by considering the aggregate number of employee forms across all types, which have been treated separately in past years.

Continue Reading

The role of brokers in the age of ACA enforcement

The Affordable Care Act (ACA) is complex, which is why many employers turn to benefits brokers to help them understand their obligations under the law. Despite the time and effort brokers have put into educating clients on ACA reporting, thousands of applicable large employers (ALEs) are receiving penalty letters stating they didn’t comply with ACA rules.

As a broker, what is your responsibility to clients that received these notices and are seeking assistance and guidance?

Continue Reading

IRS Letter 227: Understanding the next phase of the ACA penalty process

Last November, the IRS began sending out Letter 226-J to applicable large employers (ALE) that were subject to employer shared responsibility penalties (ESRP) for their 2015 Affordable Care Act (ACA) filings. Letter 226-J does give employers the opportunity to refute the assessed penalty amount using Form 14764, and many are taking advantage of this opportunity.

This has been an ongoing and confusing process for employers, and now a new step in the penalty process has been added—IRS Letter 227, which is related to the employer’s initial response. Letter 227 is sent by the IRS to either close an employer’s penalty inquiry or provide next steps to the employer.

Continue Reading