The IRS has released the final version of the forms and instructions as it relates to the new employer reporting requirements associated with the Employer Mandate and other Affordable Care Act (ACA) provisions. The forms are identical to the draft versions that were released last summer, but there have been revisions made to some of the instructions. The forms and instructions can be accessed below:

Section 6055 reporting (used to report which individuals are covered by the employer sponsored plan)

The Section 6055 reporting is completed by the insurance company for fully insured plans and by the employer for self-insured plans. The reporting is necessary regardless of employer size. This reporting is primarily used to help the IRS enforce the Individual Mandate requirements. 

• Form 1095-B:  One form completed for each employee and their dependents covered under the plan
• Form 1094-B:  Referred to as a transmittal form with one copy completed for each employer
• Instructions for completing Forms 1094-B and 1095-B

A copy of Form 1095-B must also be provided to each employee. 

Section 6056 reporting (used to report which full-time employees were offered coverage and if the coverage was affordable and provided minimum value)

The Section 6056 reporting is completed by any employer with 50 or more employees (full-time plus full-time equivalent). This reporting is completed by the employer regardless of if coverage is fully insured or self-insured. It even needs to be completed by employers with 50 or more employees who don’t offer coverage. The reporting is primarily used to determine Employer Mandate penalties. 

• Form 1095-C:  One form completed for each full-time employee with information about the coverage they were (or weren’t) offered
• Form 1094-C:  Referred to as a transmittal form with one copy completed by each employer
• Instructions for completing Forms 1094-C and 1095-C

A copy of Form 1095-C must also be provided to each employee. 

The forms and instructions that were released are related to coverage offered during 2014, which is an optional reporting year for insurance companies and employers. It’s unclear if the forms or instructions will be modified for 2015, which is the first mandatory reporting years for applicable employers. However, given the timing, employers should generally rely on these forms and instructions for the mandatory reporting that starts next year. The IRS has also released a brochure to help employers understand the data they need to start tracking on a monthly basis. 

Reporting for the 2015 plan year will be due to the IRS by March 1, 2016 if filing manually and March 31, 2016 if filing electronically. Filers of 250 or more information returns must submit electronically.  Copies of Form 1095-B and 1095-C must be provided to applicable employees by February 1, 2016.

The materials contained within this communication are provided for informational purposes only and do not constitute legal or tax advice.