ACA Update – IRS Releases Draft Forms

On July 24, 2014, the IRS posted preliminary, unofficial drafts of forms that the ACA compels employers, plan administrators and employees to file, among other items, to certify coverages offered and provided to employees in 2015.  They are Form 1094-B (“Transmittal of Health Coverage Information Returns”), Form 1094-C (“Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns”), Form 1095-A (“Health Insurance Marketplace Statement”), Form 1095-B(“Health Coverage”), Form 1095-C (“Employer-Provided Health Insurance Offer and Coverage”),Form 8962 (“Premium Tax Credit”) and Form 8965 (“Health Coverage Exemptions”).

Insurers and self-insured plans will file Form 1095-B and provide copies to all enrollees, using the 1094-B transmittal Form.  Large employers will file Form 1095-C, using transmittal Form 1095-B, with copies to all employees.  Form 1095-A is a notice from the ACA Exchange to those who enrolled in coverage through the Exchange.  Subsidized Exchange purchasers will file Form 8962. Individual mandate exemptions are claimed on Form 8965.

The IRS release suggests that further mandate enforcement delays are not under consideration.  Though the official forms and instructions for their use will not be available for months, this early look should help employers and their benefit administration partners assess the significant administrative burdens to come.

If you have any questions regarding ACA or ERISA compliance please feel free to reach out.