Q.- We just hired our first part-time worker. Do we have to offer him health coverage?
This week, the Internal Revenue Service released the annual inflation adjustments that will apply to various tax provisions in 2017. Revenue Procedure 2016-55, which can be accessed here, confirms rates for 51 separate tax provisions. From an employee benefits standpoint, the following limits may be of interest to employers:
As an enhanced security measure, the IRS intends to require approved Form 1094/1095 transmitters to provide two-factor authentication. All transmitters will have to provide credentials (user name and password), along with a security code sent by text message to the user’s cell phone. The IRS will also require re-validation of data in order to use the system.
IRS Notice 2016-58 provides revised per-diem reimbursement rates. The notice, which is re-issued annually, provides the special per diem rates starting October 1, 2016 that are used for substantiating the amount of ordinary and necessary business expenses incurred when traveling away from home.
The IRS issued final 2016 1094-C and 1095-C Forms and instructions. Final B Forms and instructions were issued a few weeks ago.
Q.- An employee’s child is 26 and turning 27 this year. The employee wants to be reimbursed from his FSA for a health expense for his child. The expense was incurred when the child was 26. Why won’t our FSA allow the reimbursement?
Both employees and employers alike are interested in maternity and paternity leave. While the Family and Medical Leave Act provides job protected leave for a minimum period of time for employees who have a child, the FMLA applies to only some employers and does not require paid leave.
Applicable Large Employers (ALE) with 50 or more full-time employees must provide affordable, minimum value coverage to full-time employees and their dependents or be subject to a tax penalty. Some employers may consider themselves “small employers,” but may actually be ALEs because they are part of a controlled group.
Q.- An employee is going from full-time to part-time, will lose health coverage, and will be offered the opportunity to continue coverage under COBRA. Can the part-time employee pay for his own COBRA premiums on a pre-tax basis?
The U.S. Department of Labor’s Office of Federal Contract Compliance Programs revised its sex discrimination regulation as it applies to federal contractors and subcontractors. Now, the OFCCP guidelines mirror guidance from the Equal Employment Opportunity Commission (EEOC).
The Affordable Care Act is more than just IRS Form 1094/1095 reporting. The ACA places requirements on health plans and their offers of coverage. One of those requirements is that covered entities must follow nondiscrimination rules. These rules apply to health plans and healthcare providers.