Insights

Signed into law in June 2019, the California Individual Health Coverage Mandate established a state individual mandate effective beginning 2020. The law requires California residents to maintain minimum essential coverage (MEC) or pay a penalty. In conjunction with this mandate, there is a reporting requirement for employers that provide self-insured MEC to residents. Reporting for the 2021 coverage year is due March 31, 2022, to the California Franchise Tax Board. The state will accept copies

Utah recently released the amended Workplace COVID-19 bill (SB 2004) to require an employer to pay for COVID-19 workplace testing; prohibit adverse action against an employee who claims relief; and prohibit an employer from keeping or maintaining a record or copy of an employee's proof of vaccination, except under certain conditions. An employer that employs 15 or more employees and requires employees to receive a COVID-19 vaccine must relieve an employee of the requirement if the employee subm

Effective January 18, 2022, HB 335 restricts employment practices related to a vaccine requirement. If an employer requires employees to be vaccinated as a condition of employment, the employer must provide employees an exemption if: they certify that COVID-19 immunization is medically inadvisable, they have COVID-19 antibodies or they possess religious beliefs that prevent them from receiving COVID-19 immunization. Importantly, if an employer is going to be subject to the federal requirement

On October 11, 2021, Governor Abbott issued Executive Order GA-40, which prohibits any entity in Texas from compelling receipt of a COVID-19 vaccine by any individual, including an employee or a consumer, who objects to such vaccination for any reason of personal conscience, based on a religious belief, or for medical reasons, including prior recovery from COVID-19. The penalty for violations of this order could be fines of up to $1,000 per violation. The order also provides that it supersedes

On December 20, 2021, Commissioner Kreidler issued orders further extending emergency orders 20-01 and 20-06. Emergency Order 20-01, which has been extended through January 28, 2022, requires health insurers to waive copays and deductibles for COVID-19 testing. The order also requires insurers to allow a one-time early refill for prescription drugs. Emergency Order 20-06, which has also been extended through January 28, 2022, protects consumers from receiving surprise bills for lab fees related

On December 22, 2021, the Department of Labor (DOL) released final regulations on the state's Paid Sick and Safe Leave Law, which has been in effect since September 2020. The final regulations do not reflect any changes to the proposed rules issued in December 2020. However, the new guidance attempts to address comments regarding the proposed rules and clarify certain outstanding issues, including carryover requirements, leave accruals, employee counts and supporting documentation and atte

On November 23, 2021, HHS issued instructions and supporting documents to report data under a transparency provision of the Consolidated Appropriations Act, 2021 (CAA), which requires group health plans and insurers to annually report certain information regarding spending on prescription drugs and health care treatment to the government. These documents describe the data submission methods for plans and insurers for the 2020 calendar year ('reference year'). Additionally, the instructions and

On December 10, 2021, the IRS released the 2022 Instructions for Forms 1099-R and 5498. Form 1099-R reports distributions from retirement plans, pensions, annuities and IRAs. Form 5498 reports contributions to IRAs. The instructions provide specific guidelines for completing the forms. The IRS updates the form instructions annually to incorporate any recent administrative, reporting or regulatory changes. The 2022 Form 1099-R instructions include a new reporting requirement for qualified plan p

The IRS recently announced the optional 2022 standard mileage rates for taxpayers to use in calculating the deductible costs of using an automobile for business, charitable, medical or moving expense (for members of the Armed Forces) purposes. Further, the notice announced the amount that must be included in the employee's income and wages for the personal use of an employer-provided automobile. Beginning on January 1, 2022, the standard mileage rate for transportation or travel expenses is 58