The U.S. Treasury Department and Internal Revenue Service (IRS) have issued final regulations regarding the deduction for qualified transportation fringe (QTF) expenses. The regulations became effective upon publication and replaced proposed regulations and interim guidance provided in IRS Notice 2018-99. Key issues addressed by the final regulations include: If an …
The Internal Revenue Service (IRS) recently issued a letter stating that employees may apply unused commuter transit benefit amounts to parking benefits in certain circumstances. The letter was presented in response to a question from an employee who, due to COVID-19, opted to drive to work instead of using public …
The Affordable Care Act (ACA) imposes a fee on health insurance issuers and plan sponsors of self-insured health plans to help fund the Patient-Centered Outcomes Research Institute (PCORI). The PCORI fee was originally scheduled to expire for plan or policy years ending on or after October 1, 2019. However, a …
The Internal Revenue Service (IRS) has released Revenue Procedure 2020-45, which includes cost-of-living adjustments for employee qualified transportation fringe benefits for the 2021 taxable year. The combined 2021 monthly limit for transportation in a commuter highway vehicle and a transit pass remains unchanged at $270. For qualified parking, the monthly limit …
The Affordable Care Act (ACA) imposes a dollar limit on employees’ salary reduction contributions to health flexible spending accounts, or FSAs, offered under cafeteria plans. For 2020, the health FSA limit on employees’ pre-tax contributions increased by $50 — from $2,700 to $2,750. On October 27, 2020, the Internal Revenue …
On July 8, 2020, the Internal Revenue Service (IRS) and the U.S. Treasury Department issued Notice 2020-54, requiring employers to report the amount of qualified sick and family leave wages paid to employees under the Families First Coronavirus Response Act (FFCRA). Employers will be required to report these amounts either …
On June 19, 2020, the Internal Revenue Service (IRS) issued proposed regulations under a portion of the 2017 Tax Cuts and Jobs Act that eliminated the employer deduction for certain employee transportation benefits. The Tax Cuts and Jobs Act changed Section 274 of the IRS Code to disallow employer deductions …
Direct Primary Care (DPC) continues to be an innovative approach to help reinvigorate primary care for doctors and patients. A direct primary care plan is a contract between an individual and one or more primary care physicians to provide medical care for a fixed fee without billing a third party. …
On April 9, 2020, the Internal Revenue Service (IRS) extended key tax deadlines for individuals and businesses in response to the ongoing COVID-19 pandemic. The new tax relief gives the IRS authority to postpone deadlines for taxpayers affected by federally declared disasters. Form 5500 – Automatic Deadline Extension Notice 2020-23 …
CMS Issues FAQ’s on Essential Health Benefit Coverage & the Coronavirus To remove barriers and financial disincentives to COVID-19 diagnosis and treatment, the Centers for Medicare & Medicaid Services (CMS) recently issued frequently asked questions (FAQ’s) on essential health benefit (EHB) coverage. EHB is a core set of items and …
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 …
The Internal Revenue System (IRS) recently announced the 2020 dollar limits for employee benefits including: High Deductible Health Plans (HDHPS), Health Savings Accounts (HSAs), Flexible Spending Accounts (FSAs), Transportation Benefits, and Adoption Assistance. As cost of living expenses continue to rise due to inflation, the IRS annually adjusts contribution limits …
The Affordable Care Act (ACA) imposes an annual, non-deductible fee on the health insurance sector, allocated across the industry according to market share. The applicable amount in the past for each fee year was: $8 billion for calendar year 2014; $11.3 billion for calendar years 2015 and 2016; $13.9 billion …
The IRS has updated their Questions and Answers (Q&As) on the employer shared responsibility rules under the Affordable Care Act (ACA), to include adjusted penalty amounts for 2019 and 2020. According to the FAQs, the penalty amounts will be increased as follows: For calendar year 2019, the adjusted $2,000 amount …
On July 17, 2019, the IRS released Notice 2019-45 to add care for a range of chronic conditions to the list of preventive care benefits that can be provided by a high deductible health plan (HDHP) without a deductible. Individuals who are covered by an HDHP generally may establish and …
