Benefits Bryan Cave

Benefits BCLP

Reporting Requirements

Main Content

Penalty Amounts Adjusted Again!

January 27, 2017

Authors

benefitsbclp

Penalty Amounts Adjusted Again!

January 27, 2017

by: benefitsbclp

PenaltyLast week, the Department of Labor (DOL) released adjusted penalty amounts which are effective for penalties assessed on or after January 13, 2017, whose associated violations occurred after November 2, 2015.  You might remember that these penalties were just adjusted effective August 1, 2016 (also for violations which occurred after November 2, 2015); however, the DOL is required by law to release adjusted penalties every year by January 15th, so you shouldn’t be surprised to see these amounts rise again next year.

All of the adjusted penalties are published in the Federal Register, but we’ve listed a few of the updated penalty amounts under the Employee Retirement Income Security Act of 1974 (ERISA) for you below:

General

Read More

Automatic 30-Day Extension of Due Dates for Participant Statements and Reinstatement Good-Faith Compliance Standard Granted!

November 21, 2016

Authors

Sarah Bhagwandin

Automatic 30-Day Extension of Due Dates for Participant Statements and Reinstatement Good-Faith Compliance Standard Granted!

November 21, 2016

by: Sarah Bhagwandin

ACAOn Friday, IRS and the Department of Treasury issued Notice 2016-70 granting an automatic 30-day extension for furnishing 2016 Forms 1095-B, Health Coverage, and 1095-C, Employer-Provided Health Insurance Offer and Coverage, to individuals for employers and other providers of minimum essential coverage (MEC).  These forms must now be provided to individuals by March 2, 2017 rather than January 31, 2017.  Coverage providers can seek an additional hardship extension by filing a Form 8809.  Notice 2016-70 provides that individual taxpayers do not need to wait to receive the Forms 1095-B and 1095-C before filing their tax-returns.

The due date for 2016 ACA filings (Forms 1094-B, 1094-C, 1095-B, 1095-B) with the IRS remains February 28, 2017 (or March 31 if filed electronically).   Employers and

Read More

IRS Addresses ACA Reporting Requirements Self-Funded Plans, HRAs

September 7, 2016

Authors

Katharine Finley and Chris Rylands

IRS Addresses ACA Reporting Requirements Self-Funded Plans, HRAs

September 7, 2016

by: Katharine Finley and Chris Rylands

Regulations and RulesAs promised in Notice 2015-68, the IRS has proposed clarifications to the regulations under IRC Section 6055 relating to information reporting rules for minimal essential coverage providers.  These rules affect employers sponsoring self-funded health plans or self-funded health reimbursement arrangements (HRAs) that coordinate with insured plans.  These proposed regulations also address how employers and others solicit taxpayer identification numbers (TINs) to facilitate this reporting.  These rules only impact employers and others who report on the B-series forms (1094-B and 1095-B).  They do not change the reporting or solicitation rules for the C-series forms (1094-C and 1095-C).

Reporting Requirements for Employers Providing Multiple Types of Health Coverage

Information reporting is generally required of every person who provides minimum essential health coverage to an individual. However, in some cases, this reporting

Read More

IRS Issues Drafts of Forms 1094-C, 1095-B and 1095-C for 2016

August 19, 2016

Authors

benefitsbclp

IRS Issues Drafts of Forms 1094-C, 1095-B and 1095-C for 2016

August 19, 2016

by: benefitsbclp

FormLast month, the IRS issued proposed changes to the ACA reporting and disclosure forms for 2016. As a reminder, Forms 1094-B and 1095-B are used by insurance providers to report on the number of individuals enrolled in health care coverage during a tax year, while Forms 1094-C and 1095-C are used by Applicable Large Employers (“ALEs”) to report on the health insurance coverage which they must offer to all their full-time employees during a tax year. We previously discussed the forms in depth here, here and here.

The drafts are subject to change, but we have provided some highlights of the proposed changes below.

Form 1094-C

  • Line 22, Box B is now “Reserved.” The Qualifying Offer Method Transition Relief was only available for
    Read More

Penalty Amounts Get Adjustment (Upward, of Course)

July 11, 2016

Authors

Chris Rylands

Penalty Amounts Get Adjustment (Upward, of Course)

July 11, 2016

by: Chris Rylands

PenaltyThe Department of Labor (DOL), along with several other federal agencies, recently released adjusted penalty amounts for various violations. The amounts had not been adjusted since 2003, so there was some catching up to do, as required by legislation passed late last year.

These new penalty amounts apply to penalties assessed after August 1, 2016 for violations that occurred after November 2, 2015 (which was when the legislation was passed). Therefore, while the penalty amounts aren’t effective yet, they will be very soon and they will apply to violations that may have already occurred.  Additionally, per the legislation, these amounts will be subject to annual adjustment going forward, so they will keep going up.

The DOL released a Fact Sheet with

Read More

The Latest in ACA Reporting

February 2, 2016

Authors

benefitsbclp

The Latest in ACA Reporting

February 2, 2016

by: benefitsbclp

photo77Well, we’ve toyed with your emotions enough on this subject…. the deadlines for ACA reporting have not changed. Truth be told, unless this law is repealed by a Republican President taking office next term, we’re likely stuck with the ACA reporting rules as they stand (as modified by further informal guidance). So, what if you encounter this situation under the current legal landscape? You’ve made it through information compilation and data entry processes, you’ve poured over the instructions on the Forms 1094 and 1095s (or better yet, hired a consultant to do that) and you’re now ready to submit your returns electronically to the IRS – maybe even “on time” under the initial deadlines before they were extended. Congratulations! But, what happens when you receive a dreaded “error” message in connection

Read More

PEOs: A remedy for ACA reporting requirements?

January 21, 2016

Authors

benefitsbclp

PEOs: A remedy for ACA reporting requirements?

January 21, 2016

by: benefitsbclp

IRS AheadSigned into law in December 2014 and effective January 1, 2016, the Small Business Efficiency Act (“SBEA”) provides welcome federal statutory recognition of Professional Employer Organizations (“PEOs”). PEOs, who act as “co-employers”, are becoming popular for many small to mid-size businesses struggling to maintain compliance with an ever-increasing volume of regulations impacting human resources and benefits compliance.

In the past, many states individually recognized PEOs through licensing or registration statutes, and there were only a handful of pieces of federal guidance concerning how PEOs should be treated under federal law. The SBEA changes the federal legal landscape by instituting a voluntary certification process for PEOs. By completing this voluntary certification process, a PEO has clear statutory authority to collect and remit taxes on behalf of their clients. Businesses can breathe a sigh of relief

Read More

Final 2015 ACA Reporting Forms Released

September 18, 2015

Authors

Chris Rylands

Final 2015 ACA Reporting Forms Released

September 18, 2015

by: Chris Rylands

For those still trying to sort out the ACA reporting rules, the IRS has released the final forms and instructions for 2015 on its website.  They can found at the links below:

Employer Reporting

IRS Form 1095-C

IRS Form 1094-C

IRS Instructions to 1094-C & 1095-C

Coverage Provider Reporting

IRS Form 1095-B

IRS Form 1094-B

IRS Instructions to 1094-B & 1095-B

 

In addition, the IRS recently released a notice announcing upcoming proposed changes to the reporting rules, available here.

We’ll provide more analysis in the coming days, but wanted to send these out now for those who were anxiously awaiting their arrival.

Read More

What we’ve got here is a failure to communicate

May 1, 2015

Authors

Chris Rylands

What we’ve got here is a failure to communicate

May 1, 2015

by: Chris Rylands

Unlike the 1967 film, Cool Hand Luke, where the prison warden delivers the above line shortly after giving a beating to prisoner Luke (Paul Newman) for making a sarcastic remark, employers may be worried about a beating from the IRS if they aren’t able to communicate with multiemployer health funds or staffing companies.

Under the Affordable Care Act (“ACA”), employers are required to report on the offers of coverage made to their common law employees. Employers have to provide statements to the employees on Form 1095-C and submit them to the IRS. The reporting includes data elements such as the months coverage was offered, the lowest cost premium for self-only coverage for each month, whether spouses and dependents are eligible, and confirmation that the plan is affordable and provides minimum value. The problem is this: if an offer of coverage is made on behalf

Read More

De-Risking? The PBGC Wants to Know About It

April 1, 2015

Authors

Denise Erwin

De-Risking? The PBGC Wants to Know About It

April 1, 2015

by: Denise Erwin

Risk BoggleIn the past few years, several large pension plan sponsors have sought to decrease the risk associated with their pension plans by purchasing group annuities to cover future payments or by offering a lump sum window during which eligible participants were permitted to elect a cash lump sum buyout. Many other plan sponsors are considering following suit. This trend has been accelerating in response to higher PBGC premiums, lower interests rates and updated mortality tables reflecting increased longevity.

The PBGC has an interest in tracking this activity because the decrease in the number of participants reduces the per-participant premiums collected by the PBGC making it more difficult for it to fulfill its role in protecting pension benefits. As a result, beginning with the PBGC premium filings for 2015,

Read More
The attorneys of Bryan Cave LLP make this site available to you only for the educational purposes of imparting general information and a general understanding of the law. This site does not offer specific legal advice. Your use of this site does not create an attorney-client relationship between you and Bryan Cave LLP or any of its attorneys. Do not use this site as a substitute for specific legal advice from a licensed attorney. Much of the information on this site is based upon preliminary discussions in the absence of definitive advice or policy statements and therefore may change as soon as more definitive advice is available. Please review our full disclaimer.