On November 8, 2017, the IRS announced that, for the first time, it would begin enforcement of the employer mandate under the Affordable Care Act (i.e., the assessment of tax penalties against large employers failing to provide affordable, minimum value health coverage to substantially all employees). The initiation of active enforcement efforts now comes as a surprise, as many anticipated that the IRS would not begin such efforts under the Trump administration.
Over the next few weeks, affected employers will receive an assessment letter to all employers the IRS believes owe ANY penalty under the ACA’s employer mandate. From guidance we have received, this could be due to:
- Anticipated and appropriately assessed tax
- Unanticipated, but appropriately assessed tax
- ACA reporting errors
Any employer anticipating they COULD be receiving an assessment should be on the lookout. If you receive an assessment letter, ACT QUICKLY.
Questions? Concerns? Call Us!
We’re here to help, please contact Carol Parda-Ziolko at (888) 322-2524 ext. 427 or by email.
All the talk about repeal and replace seems to have lulled many plan sponsors into a false sense of security, thinking that ACA regulations weren’t going to be enforced. Unfortunately, the IRS is preparing to begin penalizing non-compliant plans, which is why we continue to encourage our clients to keep their eye on the ball even though it is easier to follow the media frenzy coming from Capitol Hill.
We have received a number of inquiries this year as to whether Diversified Group will be providing ACA reporting services for 2016. We are pleased to announce that we are partnering with MZQ Consulting again this year! MZQ Consulting did an exceptional job filing the 2015 1094-C and 1095-C for so many of our self-funded employers.
Last year, employers were granted an extension by the IRS for filing the forms. The IRS has also gone on record stating they will be forgiving if the 2015 forms weren’t necessarily completed correctly or on time. This year, however, it is unlikely the IRS will be as forgiving if forms are not accurate or file on time.
If you struggled with the 1094-C and 1095-C reporting requirement last year, you may want to consider having us help this year.
Click to learn more about our ACA Employer Shared Responsibility Tracking and Reporting Services!
Interested? Contact Diversified Today!
If you are interested in taking advantage of this service or have any questions, please contact Carol Parda-Ziolko today at (888) 322-2524 ext. 427.