Annual reporting under Affordable Care Act postponed


The Obama Administration announced on the White House and Treasury websites in early July that it is postponing for one year, until Jan. 1, 2015, the mandatory employer and insurer reporting requirements under the Affordable Care Act, better known as Obamacare.

Because this extension will make it impractical to determine which employers do not provide minimum essential health coverage and therefore would owe shared responsibility payments for 2014, any employer shared responsibility payments will not apply until 2015.

The Affordable Care Act generally requires the following entities to file annual returns reporting information for each individual for whom minimum essential coverage is provided:

  • Health insurance issuers
  • Sponsors of self-insured health plans
  • Government agencies that administer government-sponsored health insurance programs
  • Other entities that provide minimum essential health coverage

An entity filing an information return reporting minimum essential coverage must furnish a written statement to each individual listed on the return that shows the information that must be reported to the IRS for that individual.

The Affordable Care Act also requires information reporting by certain employers regarding the health coverage offered to their full-time employees. Applicable large employers (those with 50 or more full-time equivalent employees) will be required to file an information return that reports the terms and conditions of the healthcare coverage provided to the employer’s full-time employees for the year. The applicable large employer will also be required to furnish a written statement to each full-time employee whose name is required to be set forth in the return.