ACA Reporting Penalties

When the Affordable Care Act (more commonly known as ObamaCare) was passed, the IRS updated its Internal Revenue Code (IRC) to include new tax documents that keep health care insurance providers in good standing with the ACA’s new legal and tax requirements.

In order to ensure that every taxpayer receives at least the minimum basic coverage of health care insurance each year, health insurance providers and employers now need to report the coverage they offer to the IRS. Health insurance providers need to report this on Form 1095-B, and certain larger employers* need to report this on Form 1095-C. It’s optional to go ahead and file these forms for the 2014 tax year, but they will be required in 2016 for the 2015 tax year.

New laws inevitably bring up questions, and a lot of people have wondered if there’s a penalty for filing 1095 forms late or not at all. Well, first of all, if you don’t do something required by the IRS and federal government, it’s safe to assume that there’s going to be a penalty. For 2015 reporting, however, the IRS will not impose penalties on a filer for reporting incorrect or incomplete information IF that filer can show that he or she made good faith efforts to comply with the information reporting requirements for 2015.

So what are the big, bad penalties? Here they are, straight from the IRS’s mouth:

• The penalty for failure to file an information return is generally $250 for each missing return. The total penalty for failing to file during a calendar year cannot exceed $3,000,000.
• The penalty for failure to provide a correct payee statement is $250 for each missing or incorrect statement, with the total penalty for a calendar year not to exceed $3,000,00.

Special rules apply that can increase these penalties if there is intentional disregard of the requirement to furnish a payee statement. So how about you avoid these penalties altogether? By making sure you get things filed correctly and on time with ExpressACAForms!

If you have any other questions about the new ACA requirements or filing process, feel free to contact our friendly support team of experts located in Rock Hill, South Carolina. Give us a call Monday through Friday, 9 a.m. - 6 p.m. EST at (704) 839-2270 or email us 24/7 at support@expressirsforms.com.

*Applicable Large Employers (ALEs) are employers with at least 50 full-time employees during a tax year.

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ExpressACAForms.com Reveals Online Software for e-Filing ACA Forms

From the company that brought you such popular software products as UnitWise, ExpressTruckTax, and ExpressTaxFilings comes the revolutionary new software in e-filing: www.ExpressACAForms.com! With ExpressACAForms, you can e-file Forms 1094-B and 1095-B or Forms 1094-C and 1095-C, which are now required to be filed with the IRS under the Affordable Care Act (a.k.a. ObamaCare).

E-filing saves you time, money, and the hassle of dealing with the IRS. And if that doesn’t sound like the best way to handle your required information returns, then we’re going to guess you’re one of those people who throws out bubble wrap without popping it too.

The Affordable Care Act requires health insurance companies, employers, and some government entities to provide additional tax information about the people to whom they provide health care coverage. So if you’re going to have to fill out these forms anyway, why not do it the easiest and most secure way possible? (Hint: that way is with ExpressACAForms.)

ExpressACAForms turns the process of filling out Forms 1094-B, 1095-B, 1094-C, and 1095-C into an interview-style process; no more trying to make sense of paragraphs full of tax jargon. You can move through the program at your own pace and even save your progress at any point if something else happens to come up.

Filing your ACA information returns shouldn’t have to be complicated, and with ExpressACAForms, it isn’t. We’ve set things up so that even the newest of e-filers can navigate the program with ease. But if you hit a snag or have a question, our friendly support team of experts located in Rock Hill, South Carolina are happy to help. Give us a call Monday through Friday, 9 a.m. - 6 p.m. EST at (704) 839-2270 or email us 24/7 at support@expressirsforms.com.

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