The ACA Times


  Show menu
  • Home
  • Articles
  • Get to Know the ACA
  • ACA – Frequently Asked Questions
  • Resources
  • Meet the Editors
  • Trusaic
  • Contact Us
  • Terms of Service
  • Privacy Notice
  
  • Home
  • ACA Deadline
  • Deadline to Furnish ACA Form 1095-C is Today

Articles

Deadline to Furnish ACA Form 1095-C is Today

March 2, 2022 Robert Sheen ACA Deadline, ACA Reporting, Affordable Care Act
Deadline to Furnish ACA Form 1095-C is Today

The deadline for distributing the ACAS 1095-C forms to full-time employees is today, March 2. Did you make it?

This deadline applies to Applicable Large Employers (ALEs), or employers with 50 or more full-time employees and full-time equivalent employees. The original deadline was January 31, 2022, but thanks to new regulations that created an automatic 30-day extension for furnishing, employers will have until March 2 or thereabouts each year.

Employers that offer self-funded health insurance must also furnish the 1095-B form to their employees by today, in addition to Form 1095-C.

Additionally, employers with operations in New Jersey and Washington D.C. must furnish 1095-C forms to ACA full-time employees as part of the state ACA reporting requirements.

Failing to meet today’s deadline could result in IRS penalty assessments under sections IRC 6721/6722 via Letter 972CG and Letter 5005-A. These penalty notices, while they may appear similar, are quite different.

Letter 5005-A is issued to employers that simply ignored their responsibilities to file their 1094-C and 1095-C forms or furnish their 1095-C forms for a particular reporting year. These employers are identified by the IRS for having failed to complete their furnishing and reporting obligations.

Letter 972CG on the other hand is a late penalty notice for completing the filing and furnishing requirements after the reporting deadlines.

For the 1095-C forms due this year, employers with average gross receipts of more than $5 million in the last three years can face a range of penalties under IRC Section 6722 for failing to furnish 1095-C forms to full-time workers by today’s deadline:

  • Distributing forms no later than 30 days of the deadline could result in a $50 penalty per return, with an annual maximum of $571,000.
  • By distributing forms 31 days late and before August 1, the amount per return increases to $110, not to exceed an annual maximum of $1,713,000.
  • Distributing forms after August 1 results in a penalty of $280 per return, not to exceed an annual maximum of $3,426,000. 
  • For intentional disregard, meaning an employer willfully ignored the deadline, the penalty more than doubles after August 1 to $570 per return, and there is no annual maximum limit.

The per return penalty is the same for employers with average gross receipts of $5 million or less in the last three years. However, the annual maximums are lower.

In addition to IRS penalties under IRC Sections 6721/6722 for failing to file and furnish the annual ACA information to full-time employees, the agency is also issuing penalties to employers identified as having failed to comply with the ACA’s Employer Mandate for the 2019 tax year via Letter 226J, though previous years are fair game as well.

Under the ACA’s Employer Mandate, ALEs must:

  • Offer Minimum Essential Coverage (MEC) to at least 95% of their full-time employees (and their dependents) whereby such coverage meets Minimum Value (MV); and 
  • Ensure that the coverage for the full-time employee is affordable based on one of the IRS-approved methods for calculating affordability.

If you didn’t make the furnishing deadline today, don’t panic – Trusaic can help. We’ve helped our clients prevent over $1 billion in ACA penalty assessments and can help you resolve any compliance issues. Contact us today to learn about your options.

If you did make the deadline, be sure to double-check your filings before the upcoming electronic filing deadline later this month. 

Download the Employer’s Guide to Coding the 1095-C Form for real-world examples of how to accurately document health coverage offerings.

Download Employer's 1095-C Guide

If your business needs assistance meeting their ACA filing deadlines this year, contact us to learn about ACA Complete. Our all-in-one service can keep track of your workforce’s employment periods, help establish affordability and file and furnish Forms 1094-C and 1095-C annually.

Summary
Deadline to Furnish ACA Form 1095-C is Today
Article Name
Deadline to Furnish ACA Form 1095-C is Today
Description
Organizations should note that today is the deadline to furnish the 1095-C schedules to their full-time workforce for the 2021 tax year. Read on to learn what could happen if you don’t make the due date.
Author
Robert Sheen
Publisher Name
The ACA Times
Publisher Logo
The ACA Times
Short URL of this page: https://acatimes.com/fjt
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. 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

ACA ComplianceACA Penalty Risk AssessmentACA ReportingAffordable Care ActApplicable Large EmployersEmployer MandateForm 1094-CForm 1095-CIRC Section 4980HIRC Section 6721IRC Section 6722IRSIRS Letter 226JMinimum Essential Coverage (MEC)Minimum Value (MV)Penalties
Related Articles Key Findings From California Pay Data Reporting Collection Key Findings From California Pay Data Reporting Collection
Related Articles New York Pay Transparency Law Delayed to November New York Pay Transparency Law Delayed to November
Related Articles Takeaways From the 2021 UK Gender Pay Gap Reporting Results Takeaways From the 2021 UK Gender Pay Gap Reporting Results
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  •  
ACA 101 Toolkit 2021
Subscribe

Popular Posts

  • IRS Proposed Ruling Could Change ACA Affordability
  • ACA Penalty Letter 226J on The Rise
  • New PTC Data is Cause For Concern For Employers
  • ACA Enrollment Reaches 35 Million Signups
  • Avoid These Compliance Triggers to Minimize ACA Penalty Risk

Trending Topics

  • Regulations
    (91)
  • Legislation
    (47)
  • Editorials
    (19)
  • ACA Compliance
    (167)
  • Tax Filings
    (19)
  • Applicable Large Employer (ALE)
    (13)
  • Penalties
    (18)
  • IRS
    (87)
  • 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: What triggers an ACA penalty

Trusaic News

Our Story


FEATURED IN

Human Resources Today
Connected Health Pulse

© 2021 Copyright Trusaic - All Rights reserved.

Close Window

Loading, Please Wait!

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