A.- An applicable large employer must comply with health care reform. To determine if you are an applicable large employer for a calendar year, you count the number of full-time employees you employed in the prior calendar year. If you did not have 50 full-time/ full-time equivalent employees in 2015, you will not be considered an applicable large employer in 2016.
The Department of Labor increased monetary penalties for a number of ERISA violations. Increased penalties became effective August 1, and will be annually adjusted for inflation on January 15 each year.
Employers may receive notices from the Department of Health and Human Services relating to Health Insurance Marketplace (Exchange) coverage. If an employee purchases Marketplace coverage with a tax credit, HHS informs the employee’s employer. This is so HHS can review the coverage offered by the employer and see if any penalties come into play.
Q.- When we count hours to determine if an employee is full-time for ACA purposes, do we count the hours the employee takes as vacation?
The Work Opportunity Tax Credit (WOTC) is a federal tax credit employers may use if they hire individuals from certain groups who have faced significant barriers to employment. The maximum tax credit ranges from $1,200 to $9,600, depending on the employee hired. The WOTC is intended to increase workplace diversity and access to jobs.
The IRS released draft instructions for the 2016 1094-C and 1095-C Forms. The Forms were issued earlier in the summer.
Q.- Our company is splitting into three groups as of September 1. Each group will have less than 20 employees. When will we change to mini-COBRA?
The Equal Employment Opportunity Commission (EEOC) announced that it is changing how it collects data about the religion of someone who alleges discrimination.
The IRS is committed to helping both employers and individuals understand the Affordable Care act and their responsibilities under the Act.
Q.- Our plan year starts July 1. Does our non-calendar year plan impact the timing by which we must distribute Form 1095-C and transmit Form 1094-C?
The US Equal Employment Opportunity Commission (EEOC) issued revised proposed regulations for the collection and reporting of employer pay data. Proposed rules were first issued in February. See our article here.
Large employers offering health coverage must report that coverage to the IRS and to covered individuals. The offer of coverage must also be reported to full-time employees. Reporting is accomplished through Forms 1095 (to the individual) and Form 1094 (to the IRS).