Summer is upon us and with it come a number of opportunities, and risks, for employers. One critical area of risk is ACA compliance. The summer months mark a critical …
IRS Letter 226J
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Summer is upon us and with it a number of annoyances. Mosquitos. Road construction. And those pesky Affordable Care Act (ACA) compliance responsibilities that tend to slip during summer months …
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The deadline for electronically filing ACA forms 1094-C and 1095-C for the 2022 tax year was March 31. Did you make the deadline? If you did, were all your submissions …
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It’s true the 2022 ACA reporting season deadlines have passed, but that doesn’t mean it’s the end of the ACA compliance efforts and ACA penalties. As we’ve previously communicated, IRS …
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ACA Full-Time: What is it and Why Does it Matter? What constitutes a full-time employee under the ACA? The answer is not as simple as it seems. And getting your …
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ACA Compliance
ACA Measurement Methods Are Critical for Avoiding IRS Penalties
by Robert Sheenby Robert SheenIf you or someone you know has been hit with IRS Letter 226J, you know that it is no laughing matter. The IRS is currently issuing these ACA penalty assessments …
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ACA Compliance
IRS Limited Non-Assessment Periods Help Avoid ACA Penalties
by Robert Sheenby Robert SheenThe responsibilities under the ACA’s Employer Mandate may seem straightforward, but, in reality, complying with them can be challenging and time-consuming. An area that many Applicable Large Employers (ALEs) struggle …
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Employers, take note: 2023 brings heftier IRS penalties for failure to comply with the ACA’s Employer Mandate. Under the ACA’s Employer Mandate, ALEs, or employers with 50 or more full-time and …
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ACA Compliance
Owners of Multiple Small Businesses May Need to Comply with the ACA
by Robert Sheenby Robert SheenUnderstanding the details of the employer-shared responsibility provisions under the ACA can be challenging, especially as the IRS continues to issue penalties for non-compliance. One of the first steps is …
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The IRS appears to be making good on its commitment to clear its backlog by the end of this year as the agency is now issuing Letter 226J penalty letters …
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As IRS enforcement of the ACA continues to ramp up, organizations would be wise to implement a monthly compliance process, if they haven’t already. Employers that implement a monthly ACA …
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ACA Compliance
The Look-Back Measurement Method Can Prevent ACA Penalties
by Robert Sheenby Robert SheenDetermining the accurate full-time employee count during a calendar year is important for ACA compliance. Getting it wrong can lead to inaccurate annual information filings with the IRS and subsequently …
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The IRS recently announced that the ACA penalty assessments issued for non-compliance with the Employer Mandate are increasing for the 2023 tax year. Below we highlight the new penalty amounts …
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ACA ComplianceACA Penalties
These Common Mistakes Can Result in ACA Penalties
by Robert Sheenby Robert SheenWithout the right resources, managing ACA compliance responsibilities can be time-consuming and difficult. There are many issues that can arise during the course of the year that can make employers’ …
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ACA Reform
Inflation Reduction Act Passes: IRS Enforcement Ramping Up
by Robert Sheenby Robert SheenFollowing many months of debate, Biden signed the Inflation Reduction Act into law yesterday, marking a historic occasion for the future of U.S. healthcare, the environment, and tax enforcement. Included …
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ACA Compliance
ACA Affordability Drops to Historic Low for 2023 Tax Year
by Robert Sheenby Robert SheenLast week the IRS announced the affordability percentage for Premium Tax Credits (PTCs) and employee contributions for employer-sponsored health coverage. In IRS Rev. Proc 2022-34, the agency makes clear that …
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The words “summer” and “vacation” often go together. Applicable Large Employers (ALEs) should note that even though their ACA filing responsibilities have likely been satisfied due to the deadlines in …
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ACA Penalties
These Industries are Most at Risk for ACA Penalties From the IRS
by Robert Sheenby Robert SheenThe home healthcare, staffing, restaurant, and construction industries are under fire from the IRS for failing to comply with the ACA. Organizations within these industries have been shocked to receive …
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The ACA’s requirements are constantly evolving and with new deadlines, increasing penalty amounts, and changing affordability thresholds the stakes are high. That’s why we created the ACA 101 Toolkit. To …
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ACA DeadlineACA ReportingAffordable Care Act
Deadline to Furnish ACA Form 1095-C is Today
by Robert Sheenby Robert SheenThe 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 …
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The IRS penalty amounts for non-compliance of the ACA’s Employer Mandate are again increasing in 2022. Below is a rundown of the new penalty amounts and how the IRS will …
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ACA Compliance
AIRs Portal Downtime Could Prove Problematic for Employers
by Robert Sheenby Robert SheenOn December 5, the IRS closed production of the Affordable Care Act’s Information Returns (AIRs) portal to prepare for 2021 reporting year electronic filing submissions. The agency says that the …
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Open enrollment period for the 2022 coverage year is well underway, and ACA premiums are continuing to drop. The federal period for obtaining health coverage kicked off on November 1 …
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Affordable Care Act
Letter 226J Notices For The 2019 Tax Year Have Arrived
by Robert Sheenby Robert SheenThe IRS is now issuing Letter 226J penalty notices to employers identified as having failed to comply with the ACA’s Employer Mandate for the 2019 tax year. Just in time …
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ACA ComplianceACA Reform
How Build Back Back Better Would Reshape U.S. Healthcare
by Robert Sheenby Robert SheenWith the Infrastructure Bill now officially signed into law, Congress will now shift its focus onto the $1.75 trillion Build Back Better proposal. In its current version, the plan could …
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The IRS recently announced the ACA affordability percentage for the 2022 tax year and with that information comes speculation around the Employer Mandate’s IRC Section 4980H(a) and (b) penalty amounts …
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ACA Compliance
Employers Must Now Do More To Contest ACA Penalties From the IRS
by Robert Sheenby Robert SheenIt’s no surprise that the IRSis increasing its enforcement efforts of the ACA’s Employer Mandate, but the amended Letter 226J language indicates that the agency is taking it to the …
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ACA Compliance
3 Resources To Assist Employers With 2021 ACA Reporting
by Robert Sheenby Robert SheenThe end of the 2021 tax year and the subsequent tax season are approaching rapidly. What precautions is your organization taking to ensure a smooth ACA reporting experience this year? …
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ACA Compliance
ACA Navigators to Receive Additional Funding For 2022
by Robert Sheenby Robert SheenThe Biden administration is making sure that the upcoming open enrollment period is a successful one. Most recently the administration announced that it will be increasing funding for ACA navigators. …
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ACA ComplianceAffordable Care ActLegislation
Calculating FT and FTE Employees [UPDATED]
by Robert Sheenby Robert SheenAs part of their annual filing of healthcare coverage information with the IRS, organizations must determine if they are Applicable Large Employers (ALEs) for purposes of the Affordable Care Act …
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ACA ReportingAffordable Care Act
Understanding ACA Forms 1094-C/1095-C
by Robert Sheenby Robert SheenEmployers required to comply with the ACA’s Employer Mandate must report their full-time employee’s healthcare information to the IRS annually via forms 1094-C and 1095-C, but what exactly are these …
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The IRS announced that there is no statute of limitations for ACA penalties. What does that mean exactly? Simply put, it means that the ACA non-compliance penalties for any reporting …
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ACA ReportingAffordable Care ActIRS
How to Handle ACA Filing Corrections With the IRS
by Robert Sheenby Robert Sheen3 minute read: If you found yourself in a situation where you received receipt of your ACA information returns for 2020 with a status of “Accepted with Errors,” you’re not …
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Affordable Care Act
Recapping on Biden’s ACA Reforms, What Employers Need to Know
by Robert Sheenby Robert Sheen3 minute read: Since Biden took office on January 20, 2021, several advancements to the Affordable Care Act followed, so we thought it best to recap on the ACA reforms …
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3 minute read: In December 2020, the Departments of Labor, Health and Human Services, and Treasury (including the IRS) issued a final rule regarding ACA grandfathered health plans. Grandfathered health …
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Affordable Care Act
5 Resources Essential for ACA Compliance in 2021
by Robert Sheenby Robert SheenThe 2021 tax year is already halfway over. With the Biden administration ramping up legislation around the ACA and the IRS increasing its enforcement efforts, employers need to be sure …
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Affordable Care Act
Taxpayers (Including Employers) Have the Right to Challenge the IRS
by Robert Sheenby Robert SheenThe IRS has a Taxpayer Bill of Rights, which includes a section stating every taxpayer’s “right to challenge the IRS’s position and be heard.” These fundamental rights apply to all …
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2 minute read: Every year Applicable Large Employers (ALEs) must file and furnish their ACA information to the IRS and their employees, respectively. Failing to do so can result in …
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Affordable Care Act
ACA Office Reopens & Issues 2018 Penalty Letters
by Robert Sheenby Robert Sheen1 minute read: The IRS Affordable Care Act (ACA) Enforcement Office, located in Ogden, Utah, had been temporarily closed since late March 2020, due to state stay-at-home orders issued in …
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Affordable Care ActHealth Care Coverage
ACA to Aid Millions in Obtaining Healthcare, KFF Report Finds
by Robert Sheenby Robert Sheen2 minute read: The data is in: at least 27 million Americans have lost employer-sponsored health coverage as a result of COVID-19. The Kaiser Family Foundation issued a report in …
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ACA ComplianceAffordable Care Act
New Jersey Adopts ACA Provision to Lower Healthcare Costs
by Robert Sheenby Robert Sheen3 minute read: Earlier this month, New Jersey signed into law a state version of an Affordable Care Act provision, the Health Insurance Assessment (HIA) program. New Jersey is the …
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Affordable Care Act
ACA Compliance Responsibilities Could Increase if the Federal Government Adopts the ABC Test for Employee Misclassification
3 minute read: A tsunami for the gig economy may be coming on the horizon. We have written recently about the ongoing issues that gig economy employers, such as Uber …
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3 minute read: In yet another triumphant win for the Affordable Care Act, the state of Missouri approved and passed the expansion of Medicaid. The expansion comes after nearly 53% …
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2 minute read: The convergence of insurance regulation at the federal and state levels keeps getting more complex. In July, the DC Circuit Court of Appeals upheld the Trump administration …
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ACA ComplianceAffordable Care Act
Employee Misclassification Laws Add Headache to Employer ACA Compliance
3 minute read: In the past year three states have implemented laws that broaden the definition of “employee” and include penalties or additional liability exposure for employers who misclassify their …
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2 minute read: House of Representative Democrats have unveiled a bill that would enhance many of the ACA’s components while reversing much of the Trump administration’s onslaught to the healthcare …
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2 minute read: On July 8, 2020 the Supreme Court handed down its decision in Little Sisters of the Poor v. Pennsylvania, upholding the new Trump Administration rule regarding contraceptive …
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Affordable Care Act
ACA’s Expansion of Medicaid Takes Hold in Oklahoma
by Robert Sheenby Robert Sheen3 minute read: In late June, Oklahoma joined 37 other states and the District of Columbia in expanding Medicaid under the ACA. Better late than never and in good timing …
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Affordable Care Act
Proposed Rules allow for More Flexibility to Grandfathered Group Health Plans
by Robert Sheenby Robert Sheen2 minute read: The Treasury, the Internal Revenue Service, the Department of Labor and the Department of Health and Human Services have jointly released a notice of proposed rulemaking to …
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Affordable Care Act
Californians Beware, The Individual ACA Penalty Has Increased
by Robert Sheenby Robert Sheen2 minute read: California residents that fail to obtain qualified health coverage this year will receive a penalty from the state for an amount larger than first projected. Per California’s …