NRECA Employee Benefits Weekly

Relief Provided for Certain 2019 ACA Tax Reporting Requirements

Posted on Posted in Group Benefits

In early December, the IRS announced the relief from information reporting requirements for 2019 Affordable Care Act (ACA) tax reporting. The date to furnish Forms 1095-B and 1095-C to employees and other covered individuals, as applicable, is extended from January 31, 2020, to March 2, 2020. This is an automatic extension. No further extensions to furnish forms will be granted. Tax filing deadlines remain unchanged (February 28 for paper filing and March 31 for electronic filing).

The IRS also won’t assess a penalty for failure to furnish Form 1095-B to individuals for 2019 if:

  • The reporting entity posts a notice prominently on its website stating that individuals may receive a copy of their 2019 Form 1095-B upon request, accompanied by an email address and a physical address to which a request may be sent, as well as a telephone number that individuals can call to contact the reporting entity with any questions; and
  • The reporting entity furnishes a 2019 Form 1095-B upon request within 30 days of the date the request is received

Note: This relief doesn’t apply to applicable large employers (those with at least 50 full-time and full-time equivalent employees) that offer self-insured group health plans and generally use Part III of Form 1095-C to meet the ACA reporting requirements. However, it does extend to furnishing Form 1095-C to any employee who isn’t a full-time employee for any month of 2019.

  • The IRS also extended good faith relief for furnishing and filing 2019 forms 1094-C, 1095-C, 1094-B and
    1095-B. This relief covers incorrect or incomplete reporting with respect to penalties where reporting entities can show that they made good-faith efforts to comply with the information-reporting requirements for 2019 (both for furnishing forms to individuals and for filing them with the IRS)

For more on the ACA, including resources and recent past webinars, visit the Affordable Care Act section in the BA Guide on the Employee Benefits website.

This article is provided for general information only and isn’t intended as legal or tax advice. If you have questions about the ACA’s tax reporting requirements, we encourage you to speak with your cooperative’s legal or tax advisor.

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