While a lot is up in the air with the Affordable Care Act employers are left asking about their filing responsibilities. While Washington officials continue to debate plans to repeal and replace the ACA, the current rules remain in place for the upcoming 2017 tax year. To address some of the confusion many employers have, check out the 2018 ACA deadlines you need to know for the 2017 tax year.
2018 ACA Deadlines You Need to Know for the 2017 Tax Year
ACA Form 1095-C
Applicable Large Employers (ALEs) and Third Party Administrators (TPAs) are responsible for providing their employees with Form 1095-C by March 2, 2018. These employers are also responsible for filing copies of Form 1095-C with the IRS. Paper filers must be submitted by February 28, 2018, and electronic filers must transmit by April 2nd, 2018.
Employees need the Affordable Care Act Form 1095-C, the Employer-Provided Health Insurance Offer and Coverage Information Returns, to help them complete their tax returns.
What is reported on Form 1095-C?
- Employee ID Numbers
- Social Security Number Of Employee and Dependents (Spouses not included)
- Proof of Minimum Essential Coverage (MEC)
ACA Form 1094-C
Form 1094-C serves as proof that ALEs and TPAs were compliant according to IRS regulation and the Employer Shared Responsibility Mandate. Employers are required to report information about whether you offered the affordable minimum essential health coverage and enrollment to all eligible employees.
Under IRS Code Sections 6055 and 6056 ALEs and TPAs must report coverage and enrollment in regards to the individual mandate on Form 1094-C. Form 1094-C is the transmittal form for Form 1095-C.
Employers filing more than 250 of any type of form must e-file with the IRS (although the IRS highly encourages all employers to e-file all forms submitted). Also, it should be noted that the deadline for paper filing comes one month before the electronic reporting deadline.
Paper Filing Deadline: Wednesday, February 28, 2018
Electronic Filing Deadline: Monday, April 2, 2018
IRS Penalties for Late or Incomplete ACA Forms:
Failure to file accurate Form 1094-C by the deadline will result in a $250 per form penalty, but this amount is capped at $3 million per year. Failure to furnish and file Form 1095-C can result in a $500 per form penalty.
Your ACA Reporting and Compliance Solution
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