The new year is right around the corner and it’s bringing IRS deadlines with it! Are you an applicable large employer? If so, it’s time to start thinking about your ACA reporting, if you haven’t already.
Let’s talk deadlines…there are a few that you need to know if you are in charge of ACA reporting for your ALE. If you file late, or even worse, forget to file at all, there will be penalties!
Much like the ghosts from A Christmas Carol, there are three deadlines that are coming for you in 2020! If you’re not planning ahead, these deadlines might just sneak up on you in the middle of the night too!
Recipient Copies Deadline
So, the IRS has given you a Christmas gift this year! They have extended the deadline for recipient copies. The original deadline was January 31st, so ALE’s would not only have to send out their W-2’s and 1099’s but also their 1095-C’s to their employees.
So, the IRS has offered you a welcome reprieve…but don’t get too excited! The new deadline for recipient copies is March 2nd, 2020. Enjoy this 30 day extension because the IRS will not offer another one. You MUST distribute these forms to your employees by March 2nd to avoid any penalties.
Paper Filing Deadline
The deadline for paper filing with the IRS is February 28th, 2020. If you are planning on submitting paper forms to the IRS, then this is the date that you need to mark on your calendar!
Before you mail mountains of tax forms to the IRS, be sure that your ALE is eligible for paper filing. If you are an applicable large employer with more than 250 employees, then you must file electronically!
To avoid penalties, you must file electronically. If you have anywhere between 50 and 249 employees, the IRS will accept your paper forms, however, keep in mind that filing electronically will buy you more time!
Electronic Filing Deadline
Last but not least is the deadline for electronic filing. If you choose to transmit your forms to the IRS electronically then you must do so by March 31st, 2020. The IRS recommends that ALE’s file using this method.
It is more convenient and efficient for both you as an ALE and the IRS. If you don’t already file electronically, then it would be a great idea to consider making the switch this year. You will have more time to file and you will receive an almost immediate status when you do submit your forms!
If any of your forms have mistakes or are rejected then you will be alerted sooner, and more importantly you will be able to correct or retransmit them sooner!
If these deadlines seem daunting, then it may be time to consider bringing in some back up! ACAwise is a full-service reporting solution. Our team of experts will help you generate the codes for your forms and review them for errors before transmittals. We also offer postal mailing to ensure that you reach the recipient copy deadline! We can help you through the process of making corrections to your forms and retransmitting them!