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Final Forms for 2019 ACA Reporting Have Been Released

On December 9, 2019, the IRS released final 2019 forms and instructions for reporting under Internal Revenue Code Sections 6055 and 6056.

These forms and instructions require certain employers to provide information to the IRS about their health plan coverage. While similar to the 2018 versions, it is important to note that transition relief from penalties is now available in certain circumstances.

2019 Final Forms

The 2019 forms and instructions have been revised to:

  • Remove references to the individual mandate penalty, which has been reduced to $0;
  • Indicate that the furnishing deadline for individual statements has been extended to March 2, 2020;
  • Include the extension of good-faith penalty relief for incorrect or incomplete information returns filed or furnished in 2020; and
  • Describe additional penalty relief for failures to furnish under Section 6055, in certain circumstances.

Keep in Mind

  • 2019 Forms 1094-C and 1095-C (and related instructions) will be used by applicable large employers (ALEs) to report under Section 6056, as well as for combined Section 6055 and 6056 reporting by ALEs who sponsor self-insured plans.
  • 2019 Forms 1094-B and 1095-B (and related instructions) will be used by entities reporting under Section 6055, including self-insured plan sponsors that are not ALEs.

Each reporting entity must annually file all of the following with the IRS:

  • A separate statement for everyone who is provided with minimum essential coverage, or for each full-time employee; and
  • A transmittal form for all returns filed for a given calendar year.

Reporting entities must also furnish related statements to individuals.

Note: Section 6055 reporting is still necessary because it helps the IRS administer premium tax credit eligibility. An individual who is eligible for certain types of minimum essential coverage may not be eligible for the premium tax credit. 

For more information on final forms and instructions, click here.

Should you have any questions, feel free to reach out to the Creative Benefits Team at 866-306-0200 or email us at solutions@creativebenefitsinc.com.