The Department of the Treasury and the Internal Revenue Service (IRS) have released final rules to implement the information-reporting provisions for insurers and certain employers under the Affordable Care Act (ACA) that take effect in 2015.
“Today’s announcement is part of the administration’s effort to provide certainty and early guidance about major health policies so employers, small business owners and other individuals can plan for 2015,” said Assistant Secretary for Tax Policy Mark J. Mazur. “Treasury’s final rules significantly streamline and simplify information reporting while making it easier for employers and insurers of all sizes to provide the quality, affordable health coverage that every American deserves.”
While 96 percent of employers are not subject to ACA reporting requirements or the employer responsibility provision because they have fewer than 50 employees, in 2015 requirements begin to phase in for the remaining four percent of employers that are required to offer quality, affordable coverage to employees or make a payment.
The final regulations on information reporting by those affected employers will substantially streamline reporting requirements for employers, particularly those that offer highly affordable coverage to full-time employees, according to the IRS. Final rules were also released to provide guidance for reporting by insurers and other parties that provide health coverage under the ACA. Together, these rules respond to feedback from stakeholders and will help employers and insurers effectively comply with their responsibilities.