Treasury Rules on ACA Reporting

The Treasury Department issued a new, consolidated form that streamlines certain self-insured employers’ reporting requirements under the Affordable Care Act (ACA) starting in 2015.

Impacts 4% of Employers

A March 5, 2014 fact sheet from the Treasury and IRS states that: “While 96 percent of employers are not subject to ACA reporting requirements or the employer responsibility provision because they have less than 50 employees, in 2015 requirements begin to phase-in for the remaining four percent of employers that are required to offer quality, affordable coverage to employees or make a payment.”

Simplified Reporting

If you make a qualifying offer of coverage to full-time employees, you report specific information. A qualifying offer is one that makes available a minimum value coverage that provides employee-only coverage at a cost of no more than about $1,100 for an employee in 2015, combined with an offer of coverage for the employee’s family..

Some ACA Information No Longer Required

The new regulations omit information that isn’t necessary to understand coverage that is provided and being offered, including, but not limited to:

  • The length of any eligibility waiting period;
  • Your share of the total health benefit cost, and
  • The amount of advance payments of the premium tax credit and cost-sharing reductions.

Play or Pay Deadline Pushed Back for 50-99 FTE Companies

While these changes can result in some cost savings, they won’t likely cause you to begin offering coverage if you were not already doing so, or to offer coverage earlier than you would otherwise be required to avoid the “employer responsibility” payment. For employers with 50 to 99 full-time employees, the play or pay deadline has been pushed back to 2016.

For additional information, consult with Corban OneSource or your current employee benefits adviser.

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