Deadline for Providing 1094/1095 Forms Extended

The IRS has extended the deadline for issuers and employers to deliver the new reporting forms required by the Affordable Care Act. What does this mean?

• Health plans and employers now must mail Form 1095B and 1095C, respectively, to individuals no later than March 31, 2016.
• Forms 1094B and 1094C (the transmittal forms) must be filed with the IRS no later than May 31, 2016 (if filing by paper) or June 30, 2016 (if filing electronically).

For Health New England’s Self-Funded Employers: Please let your account executive know if and when you need Health New England to provide you with a data extract of all your plan’s members. We will be glad to supply this data upon request. Please allow two weeks for your request to be processed.

Affordability Safe Harbors

The IRS updated the affordability percentage for plan year 2016 to 9.66 percent. This percentage applies to all three safe harbors – Box 1 W-2 income, rate of pay and federal poverty level for a single individual.

Cadillac Tax

On December 18, 2015, President Obama signed into law a two-year delay on implementation of the Cadillac Tax. As a result of the delay, the tax will go into effect in 2020.