The ACA Times


  Show menu
  • Home
  • Articles
  • Get to Know the ACA
  • ACA – Frequently Asked Questions
  • Resources
  • Meet the Editors
  • Trusaic
  • Contact Us
  • Legal
  
  • Home
  • Affordable Care Act
  • IRS Update: Premium Tax Credit And Shared Responsibility Payment

Articles

IRS Update: Premium Tax Credit And Shared Responsibility Payment

August 4, 2016 Robert Sheen Affordable Care Act, Premium Tax Credit, Regulations, Shared Responsibility Payment
IRS Update: Premium Tax Credit And Shared Responsibility Payment

New regulations have arrived for the ACA’s Premium Tax Credit and Shared Responsibility Payment provisions. For the 2015 tax year, many employers and employees encountered difficulties with regard to the PTC and whether or not a shared responsibility payment was required. The result was unexpected penalties that are still being imposed to date. However, the IRS has now shed some light on both issues with a few updates to the provisions.

These IRS regulations have been released, coming into effect for the tax year following December 31, 2016. However certain provisions may be applicable for years before (tax years following December 31, 2013). Other rules won’t come into effect until after December 31, 2018.

The regulations involve eligibility for the Premium Tax Credit and repayments of the advance credit, as factors such as the Federal Poverty Line have provided some ambiguity when it comes individuals’ ability for repayment. Further, fraudulent incidents have arisen, where forms are intentionally completed incorrectly to obtain credits with health care purchased from the Health Insurance Marketplace. New regulations are being implemented to rectify this as well better determining who is an eligible taxpayer for such advancements.

Further, new regulations will change how employers handle their opt-out programs for employees’ health coverage, along with how families receive assistance with plan premiums. While these new regulations may provide a better understanding for both employers and employees, the real benefit will come tax season when these new changes will come into effect.

To view a summary of these new regulations, click here.

To learn more about ACA compliance in 2020, click here.


We’re committed to helping companies reduce risk, avoid penalties, and achieve 100% ACA compliance. For questions about the ACA contact us here.

Short URL of this page: https://acatimes.com/qrm
Robert Sheen

Robert Sheen

Robert Sheen, Esq., is editor-in-chief of The ACA Times. He also is founder, president and CEO of Trusaic.

Robert Sheen is Founder and President of Trusaic, Inc. Robert is a graduate of the University of Southern California, in Business Administration with an emphasis in International Finance. He earned his Juris Doctor from Loyola Law School, Los Angeles, concentrating in Tax Law.

View more by Robert Sheen

Related tags to article

Affordable Care ActHealth Care CoverageHealth Insurance MarketplaceIRSPenaltiesPremium Tax CreditRegulationsShared Responsibility Payment
Related Articles DFEH Adds New Guidance for SB 973 Reporting Due on March 31 DFEH Adds New Guidance for SB 973 Reporting Due on March 31
Related Articles Georgia Results May Have Impact on Federal Pay Equity Law Georgia Results May Have Impact on Federal Pay Equity Law
Related Articles Looking Back at Senator Harris’s Equal Pay Plan Looking Back at Senator Harris’s Equal Pay Plan
Related Articles Administration Predicts Lower ACA Enrollment by Robert Sheen  •  
Related Articles IRS Eases Rules on Hardship Exemptions by Robert Sheen  •  
Related Articles HHS Awards $36 Million To Health Centers by Robert Sheen  •  
Subscribe
Clean data owns future

Achieve Pay Equity

Popular Posts

  • Employers, Mark These Key 2021 Dates for 2020 ACA Reporting
  • New Individual Mandate Regulations: What You Need to Know
  • Minimize Penalties with ACA Best Practices for the Holiday Season
  • The ACA is Central to American Health and Wellbeing
  • Democrats Gain Senate, Paving the Way for Biden’s ACA Agenda
  • PPP Loans Are Now Available, Both First Draw and Second Draw PPP Loans

Trending Topics

  • Regulations
    (91)
  • Legislation
    (47)
  • Editorials
    (19)
  • ACA Compliance
    (126)
  • Tax Filings
    (19)
  • Applicable Large Employer (ALE)
    (13)
  • Penalties
    (18)
  • IRS
    (82)
  • Health Insurance Marketplace
    (28)
  • Polls/Surveys
    (18)
  • Health Care Reform
    (22)
  • Reporting
    (22)
  • IRS 226J/226-J
    (28)

Categories


Brought to you by Trusaic

 

 

 

Twitter Facebook

Downloads

The ACA 101 Toolkit

The Essential Guide to the ACA

Letter 226J Infographic

5 Common ACA Compliance Mistakes

Triangle of Trust

Articles

IRS Affordability Safe Harbors Help Avoid ACA Penalties

Calculating FT and FTE Employees

The ACA Monthly Measurement Method: A Few Examples

The IRS’s 1095 Forms for ACA Explained

Incorrect ITINs Will Cause Havoc With ACA Compliance

Knowledge Center

Get to know the ACA

Get to know Letter 226J

Webinar: The Recipe for Successful ACA Compliance

Trusaic News

Our Story

© 2021 Copyright Trusaic - All Rights reserved.

Close Window

Loading, Please Wait!

This may take a second or two. Loading, Please Wait!