On March 2, 2019, the IRS updated their questions and answers (Q&As) providing additional guidance on employer compliance with PPACA reporting requirements under IRC Sections 6055 and 6056. The only updates to the Q&As appear to be updated links to the required forms to route the user to the 2018 versions (instead of the 2017 versions).
As background, Section 6055 requires every provider of minimum essential coverage to report coverage information by filing an information return with the IRS and furnishing a statement to individuals. Section 6056 is meant to allow employers to report on their compliance with the employer mandate. Those reports also allow the government to determine whether a specific individual was offered minimum value, affordable employer-sponsored coverage for each month, which affects that individual’s ability to qualify for an premium tax credit.
The Section 6055 Q&As address the basics of employer reporting, including which entities are required to report, what information must be reported and how and when reporting entities must report required information, as follows:
- Basics of Provider Reporting: Questions 1-3
- Who is Required to Report: Questions 4-14
- What Information Must Providers Report: Questions 15-18
- How and When to Report the Required Information: Questions 19-28
- Extended Due Dates and Transition Relief: Questions 19-35
The Section 6056 Q&As cover the same topics and also address questions related to the methods of reporting, as follows:
- Basics of Employer Reporting: Questions 1-3
- Who is Required to Report: Questions 4-11
- Methods of Reporting: Questions 12-16
- How and When to Report the Required Information: Questions 17-24
- Designated Government Entity: Questions 25-28
- Other Third Party Service Providers: Questions 29
- Extended Due Dates and Transition Relief for 2015 and 2016 Reporting: Questions 30-34
- Additional Information
Overall, the Sections 6055 and 6056 Q&As appear to have remained the same and haven’t been revised. Still, employers should ensure that they have followed this guidance in preparing their 2018 forms. NFP has resources to assist. Ask your advisor for more information.
Q&As on Section 6055 Reporting »
IRS Q&As on Section 6056 Reporting »