IRS Extends ACA Reporting Deadline

December 6, 2019

The Internal Revenue Service (IRS) recently issued Notice 2019-63, which, once again, extends the deadline for Affordable Care Act (ACA) reporting requirements under Code Sections 6055 and 6056 . Originally scheduled for January 31, 2020, the deadline for reporting to employees and covered individuals is now March 2, 2020. This extension is automatic, and the deadline for filing with the IRS remains unchanged. A summary of the various deadlines is below:

  • Forms to employees and covered individuals (March 2, 2020)
    • The IRS is providing relief to coverage providers (insurance companies) this year for providing the 1095-B statements to individuals. This is due to the elimination of the penalty for not having health insurance coverage and the fact that employees are no longer required to report on their coverage status.
    • In order to qualify for the relief, the coverage provider must post a notice on its website indicating that the 1095-B form is available upon request. If requested, it must be provided within 30 days.
  • Electronic transmittal of Forms 1094-B, 1094-C, 1095-B and 1095-C to the IRS (March 31, 2020)
  • Paper transmittal of Forms 1094-B, 1094-C, 1095-B and 1095-C to the IRS (February 28, 2020)

The IRS will continue its good faith compliance standard. Penalties will not be assessed for inaccurate or incomplete filings as long as filers can prove that forms were prepared in good faith. Filers are only eligible for this relief if forms are filed and distributed timely. Late or inaccurate forms could be subject to a penalty via Letter 226J.

To learn more about the impact of this reporting relief, please contact Mark Flanagan of Aronson’s Compensation and Benefits Practice at 301.231.6257.