The IRS announced a proposed, permanent 30-day deadline extension for delivering ACA 1095 reporting forms to employees. The forms will now be due each year on March 2. However, this will not change the deadlines for paper and electronic filing for the IRS. The paper filing deadline will remain as February 28, and the electronic filing deadline stays on March 31.
| ACA Requirement | Deadline |
| 1095 Forms delivered to employees |
Jan. 31, 2022 |
| Paper filing with IRS* | Feb. 28, 2022** |
| Electronic filing with IRS | Mar. 31, 2022** |
*Employers that file 250 or more information returns with the IRS must file the returns electronically.
**Filers can obtain a 30-day extension on filing forms with the IRS by submitting Form 8809—Application for Extension of Time to File Information Returns—by filing due date.
Source: IRS
If the plans offered to employees are fully insured, then the insurance carrier must provide Form 1095-B to covered employees and individuals. If the plan is self-insured, all the necessary information is included in Form 1095-C, and the 1095-B will not be needed. If an organization that is not considered an Applicable Large Employers (ALEs) sponsors self-insured plans, they must provide covered individuals with Form 1095-B.
No More Good Faith
From 2015 to 2020, the IRS provided penalty relief for ACA reporting when employers reported errors on forms if the employer could show it made efforts to comply. It's important to know that this offer no longer stands for 2022 on plan year 2021 coverage.
How to Avoid Penalties
Don't miss your deadlines.
This one's a little obvious, but missing deadlines can lead to major penalties.
Check for accuracy
- All ALEs need to produce a 1095-C for each full-time employee
- Part-time employees who are self-insured also need a 1095-C
- Data should be consistent
Are employees offered Individual Coverage Health Reimbursement Arrangements (ICHRAs)?
Check line 14 for this
Are all the codes valid?
It's important to review for codes and code combinations that don't make sense.
For more information, read this article on What You Need to Know About the Latest 1095-C Requirements.
The best step forward for any employer is always to file and furnish timely and accurately, but we understand that it's not easy and takes a lot of time and attention. So, we are here to help ensure your ACA compliance! Medcom offers a variety of ACA services, including filing, tracking, penalty appeal support, and back filing. We have an expertly trained staff and the technology to take the burden of ACA filing off of employers. Partners and brokers no longer need to answer the tough questions; Medcom provides the assistance everyone needs, saves employers money, and provides a good night's sleep for all involved.
Contact us to learn more about our solutions or if you have questions about ACA penalties and appeals.
