The Affordable Care Act (ACA) created reporting requirements under Code Sections 6055 and 6056. These rules require certain employers to provide information to the Internal Revenue System (IRS) about the health plan coverage they either offer, do not offer, or provide to their employees.
Draft Forms for 2020 reporting were previously released in July of this year. The draft instructions have since been amended and include changes and clarifications related to 2020 reporting:
- The deadline for furnishing statements to individuals under Sections 6055 and 6056 has been extended to March 2, 2021.
- Good faith relief from penalties for reporting incorrect or incomplete information has been extended for 2020 reporting.
- The “Plan Start Month” box is now required for 2020 reporting. This section has been optional in prior years.
Additionally, draft Form 1095-C includes several changes such as added Code Series 1 codes related to offers of individual coverage health reimbursement arrangements (ICHRAs).
Keep in mind, these are drafted versions only, meaning the IRS may make additional changes to these forms and instructions.
To access links to the 2020 draft Forms, as well as additional information pertaining to the updated instructions, click here.
Questions? Contact the Creative Benefits Team at 866-306-0200 or email us at solutions@creativebenefitsinc.com.