On March 10, the Department of Treasury and the Internal Revenue Service (IRS) issued final rules on information reporting by applicable large employers on health insurance coverage offered under employer-sponsored plans and information reporting of minimum essential coverage. The final regulations relate to the Affordable Care Act’s (ACA) employer and insurer information reporting requirements under Internal Revenue Code sections 6055 and 6056.

Section 6056 applies to large employers (generally, with 50 or more full-time equivalent employees) subject to the employer mandate. Applicable large employers are required to report to the IRS information about their compliance with the employer mandate provisions and the health care coverage they have offered to full-time employees. Further, they are required to provide related statements to each full-time employee. The final rules discuss the content, method and timing of information required to be reported to the IRS and furnished to full-time employees. Further, it discusses alternative options for reporting. 

Under section 6055, health insurance issuers and self-insuring employers that provide minimum essential health coverage to individuals must report to the IRS information about the type and period of coverage and furnish related statements to covered individuals.  The final rules discuss coverage subject to reporting; persons required to report; information required to report; time and manner of filing; combined reporting; and statements furnished to individuals.

ABC’s general counsel has provided a detailed summary of the final rules. Additional information on the health care law may be found on ABC’s Employer Health Care Law Toolkit. 

As part of the Employers for Flexibility in Health Care (E-FLEX) Coalition, ABC Nov. 7 submitted comments to the IRS in response to Sept. 9 proposed rules on employer information reporting requirements. The comments can be read here.