• Employer Mandate and Reporting Requirements - Still Awaiting Guidance
  • August 7, 2013 | Author: Cheri D. Green
  • Law Firm: Brunini, Grantham, Grower & Hewes, PLLC - Jackson Office
  • On July 2, 2013, we alerted you that the employer mandate penalties and reporting requirements had been delayed until 2015.  On July 9, 2013, the IRS published Notice 2013-45. [Notice] The Notice states that guidance concerning the employer mandate delay and reporting requirements could be “expected to be published this summer.”

    The Notice, in a Q&A format, outlines what the delay means.  Employer reporting obligations under §6055 and §6056 are not required until 2015.  However, the IRS “encourages” employers to report voluntarily once the guidance is issued.  The IRS hopes voluntary reporting in 2014 will provide a “real world” test run needed for a smooth 2015 transition.  It is the reports that will allow the IRS to determine whether an employee who obtained coverage in "the Marketplace” (formerly known as "the Exchange") is entitled to a premium tax credit.

    Although the employer mandate penalties have been delayed until 2015, applicable large employers should continue to use the fall of 2013 and 2014 to develop and implement their standard measurement periods to determine which employees are full-time on January 1, 2015.  On August 1, the Administration launched a new website marketed as a tool to help employers determine their insurance obligations.  [Heath Care Changes]  The site provides only the most basic information but does not assist employers with any close coverage questions.