ACA tax forms

The IRS has recently changed how and when businesses must report 2022 ACA forms to their employees in the tax year 2022 and beyond. IRS Extension for Delivery of Employee Forms According to recent guidance from the IRS, applicable large employers (or ALEs) must file their 2022 ACA 1095 forms by the following deadlines: 1095 forms must be delivered to employees by March 2, 2022 (automatic extension given – the original deadline was January 31, 2022) Paper filing with IRS must be done by February 28 Electronic Filing with IRS must be completed by March 31, 2022. If your business needs an extension, you must submit Form 8809 (Application for Extension of Time to File Information Returns) by the filing due date. This must be done by any employer with federal contractors, self-insured employers, and any employer with more than 50 employees. The automatic extension mentioned above for businesses to deliver 1095s to employees is an automatic one. It is in effect for all employers and looks to be carried forward year over year, starting in tax season 2022. It’s important to note that many employers are still choosing to send the 1095 forms out with W-2s to employees to avoid missing the separate deadline and fielding questions and concerns from employees who are waiting for their forms. Business Requirements for ACA Form 1095 The IRS shared guidance on the compliance and reporting of Affordable Care Act information. ALEs must offer affordable minimum essential coverage that provides minimum value to full-time employees. If not, they'll incur an employer shared responsibility payment to the IRS. There are helpful examples and payment situations laid out at this link for your further reference. Penalty Relief Has Ended Between 2015 and 2020, the IRS offered penalty relief for employers that reported incorrect or insufficient information when filing ACA forms. But beginning with the plan year 2021 health insurance coverage (which is reported …

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