eeping up with the news on the Affordable Care Act is difficult, and maintaining ACA compliance can feel like a full-time job. Over the years, we’ve worked hard to provide you with educational resources to help you stay up to date and manage ACA compliance in your organization. To continue in that effort, we’ve put together a (really) long list of frequently asked questions employers and HR professionals have about ACA reporting to be sure you’re prepared when the 2018 aca reporting deadlines roll around.
ACA Reporting 2018 FAQs for HR and Employers
What is required for ACA reporting in 2018?
Under the Affordable Care Act and the ACA Employer Shared Responsibility Mandate, reporting on ACA compliance requires two forms:
Form 1094-C: Transmittal form accompanying Form 1095-C information returns. Reports on offers of healthcare coverage to all full-time equivalent employees and their dependents.
Form 1095-C: Employer-Provided Health Insurance Offer and Coverage Form. Furnish to employees and submit to IRS to show offers of coverage.
Who needs to file Form 1094-C?
Applicable Large Employers, often referred to as ALEs, with 50 or more full-time and full-time equivalent employees in the previous year must file Form 1094-C and a Form 1095-C for each employee who was a full-time employee for any month of the calendar year.
Remember, no matter how your company qualifies full-time employees for its own purposes, the ACA’s standards apply to all employers.
What’s the purpose of Form 1094-C?
Under Code sections 6055 and 6056, ALEs must use Form 1094-C to report required information about whether or not they offered affordable minimum essential health coverage (MEC) and enrollment in minimum essential health coverage for eligible employees. Form 1094-C will transmit forms 1095-C to the IRS.
Forms 1094-C and 1095-C will be used to determine whether an employer will be penalized for noncompliance. This penalty will require payment under the Employer Shared Responsibility provisions under section 4980H. These forms will also determine employees’ eligibility for the premium tax credit.