On December 18, 2015, President Obama signed a federal budget bill which included a provision for a two year delay on the implementation of the Affordable Care Act’s (ACA) Cadillac tax on high-cost group health coverage.
In addition, the new law impacts the ACA by imposing a moratorium on the collection of the 2017 health insurance providers fee; imposing a two-year moratorium on the medical device excise tax (for 2016 & 2017); removing a provision prohibiting the Cadillac tax from being deducted as a business expense; and requiring a study to be conducted on an age and gender adjustment to the annual limit.
Ten days later, the Internal Revenue Service (IRS) issued Notice 2016-4 which extended the deadlines for filing and furnishing 2015 forms under Section 6055 and Section 6056 in 2016.
The February 1, 2016, due date for furnishing forms to individuals has been extended to March 31, 2016. The due date for filing forms with the IRS has been extended from February 29, 2016, to May 31, 2016. For those filing electronically to the IRS, the due date is extended from March 31, 2016, to June 30, 2016.
Note that the IRS is encouraging employers and other coverage providers to file information returns and furnish statements as soon as they are ready. Also, if you had previously requested an extension, you will not receive approval and must comply with the new extended deadlines.
Remember to keep health care reform compliance focused on your radar. If WA can be of further assistance to you, please feel free to contact us.