ACA Update - Deadlines, Taxes, & Fees

Friday, January 24, 2020

Source: Gilroy Kernan & Gilroy


Affordable Care Act (ACA) reporting under Section 6055 and Section 6056 for the 2019 calendar year is due in early 2020. Specifically, reporting entities must:
  • File returns with the IRS by Feb. 28, 2020 (or March 31, 2020, if filing electronically); and
  • Furnish statements to individuals by March 2, 2020
Originally, individual statements were due by Jan. 31, 2020. However, the Internal Revenue Service (IRS) issued Notice 2019-63 to extend the furnishing deadline by 31 days. The Notice also provides additional penalty relief related to furnishing 2019 forms to individuals under Section 6055.
Action Steps: Despite the delay, the IRS is encouraging reporting entities to furnish statements as soon as they are able. No request or other documentation is required to take advantage of the extended deadline

The following taxes and fees under the Affordable Care Act (ACA) were recently repealed

  • The Cadillac tax on high-cost group health coverage, beginning in 2020
  • The medical devices excise tax, beginning in 2020; and
  • The health insurance providers fee, beginning in 2021
  • Also note that the law extends PCORI fees to fiscal years 2020-2029.
Actions Steps:
  • Employers should be aware of the evolving applicability of existing ACA taxes and fees so that they know how the ACA affects their bottom lines
  • As noted above, employers should continue to meet all annual ACA compliance requirements, including Section 6055/6056 reporting and individual statements.
For your reference, below we have included a link to download our full 2020 Health Plan Compliance Deadlines Overview.
As always, we will continue to keep you informed of changes and key deadlines.

2020 Health Plan Compliance Deadlines

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