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Affordable Care Act: 2015 Reporting Required

Nina009Beginning in 2015, under the Affordable Care Act, applicable large employers (ALEs) with over 50 full-time equivalent employees should be aware of the new filing requirements with the IRS.  All ALEs are required to file forms 1094-C and 1095-C.  Form 1095-B will be filed by employers offering health insurance to its employees. These forms will need to be provided to the companies’ full-time employees by January 31.  The timing is similar to Form W-2.

For companies offering health insurance to its employees through a group plan, Form 1095-B will be prepared by the insurance company.  Form 1095-B summarizes the number of months individuals were covered by a health insurance plan.  It is similar to Form 1095-A which was sent out to individuals covered in 2014 on the federal or state insurance exchanges.

ALEs are required to file forms 1094-C and 1095-C.  Form 1094-C is a summary form, similar to Form W-3.  It is used to summarize the number of 1095-Cs filed and provide aggregate information for a controlled group.  Form 1095-C is provided to each full-time employee to whom health insurance coverage should have been offered under the ACA regardless if the employee receives the health coverage.  1095-Cs list information such as number of months the employee (and their dependents if self-insured) are covered, the lowest cost monthly premium for self-only insurance, and safe harbor code (if applicable).

The penalty for non-filing has been increased and can be as much as $500 per form.

Most software needs to be upgraded or add-on packages need to be purchased to prepare these forms.  KTLLP has the ability to assist in filing forms 1094-C and 1095-C on your behalf. Please call Nina, Kevin or Jennifer on the ACA Team with any questions.

Nina Braun

Nina Braun

CPA, CFE, Partner at Ketel Thorstenson, LLP
Nina's experience in the commercial audit arena commenced in the year 2000 - she has been practicing in manufacturing, construction, retail, and various other industries ever since. Nina also has extensive experience auditing 401(k) plans.
Nina Braun

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