Ready to Meet the ACA Deadlines? ACAwise can Help!

The first ACA deadline for the 2022 tax year is coming up at the end of the month, and if your business is required to file, you’re running out of time to complete your forms. 

In addition to filing forms with the IRS, employers in certain states will need to file with the state agency. The IRS also requires that employers distribute 1095 copies to their employees. 

Here is a helpful guide to help you prepare for and meet your ACA reporting deadlines for the 2022 tax year. 

Is your Business an Applicable Large Employer? 

As a business owner, knowing your ALE status is crucial. Remember, an applicable large employer, or ALE, is defined by the IRS as an employer with 50 or more full-time equivalent employees. 

Depending on when you hire new employees and the number of hours your part-time employees are working, you can become an ALE without realizing it. Therefore, it is always important to track not only the number of full-time employees on your payroll but the number of hours being worked by your part-time staff. 

ACAwise offers a free tool to help you determine your ALE status. Check out our ALE Status Calculator to get started!

Plan to Meet the Deadlines

There are three important deadlines associated with ACA Reporting:

• February 28, 2023 (IRS paper filing deadline)
• March 2, 2023 (recipient copy deadline)
• March 31, 2023 (IRS e-file deadline)

Complete Forms 1095

Completing 1095s for each of your employees can be both complicated and time-consuming. If time is running out and the administrative duties are piling up, finding a professional to alleviate the burden is a great option. 

Without experience filing 1095-C forms, there is a major margin for error. Lines 14 and 16 of Form 1095-C require entering codes from a complex series. These codes are used to report intricate details about your employee’s coverage. 

ACAwise offers a full-service solution for this reason. Our team alleviates the burden of completing complex ACA reporting requirements. Our team is able to generate your 1095-C forms complete with the necessary codes based on your payroll data. 

Check your State Filing Requirements

In addition to ACA reporting requirements with the IRS, there are a few states that require reporting with their state agency. ACA state filing is required in, 

• Rhode Island
• California
• Massachusetts
• New Jersey
• District of Columbia

If you employ residents of these states and/or your business is located in one of these states, you are required to complete ACA reporting requirements with their state agency. 

Recipient Copy Distribution

Printing and mailing your own ACA Forms can sound simple enough. However, in practice it is risky. Depending on how many employees you have, this can become hundreds of papers, envelopes, stamps, and several trips to the post office. 

Plus, after all that hard work it is possible that some of your copies may not end up at the recipient’s correct address if you have no way of verifying that this address matches the USPS database. 

In ACAwise, we understand this, and that’s why we offer a complete solution for printing and mailing your forms. We are able to handle high volumes of forms quickly. We run USPS validations to confirm that all of your recipient copies are in fact going to valid addresses found in the USPS database. 

If you would prefer to go paperless this tax season, ACAwise offers Online Access. You can enable your recipients to view and download copies of their forms online using our secure portal. 

If your business is in need of a last-minute solution for ACA reporting requirements, reach out to our team today!