United States

IRS extends the due date for 2017 Forms 1095-B and 1095-C

TAX BLOG


Employers required to file IRS Forms 1095-B or 1095-C for 2017 to report information about their workforce and health plans now have additional time to comply. The due date for providing the forms to employees has been extended from Jan. 31, 2018, to March 2, 2018.

To comply with the Affordable Care Act, every large employer (an employer with at least 50 full-time and full-time equivalent employees) must report information to its employees and the IRS using Forms 1095-C (Employer-Provided Health Insurance Offer and Coverage) and 1094-C (Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns). The forms report whether the employer offered ACA-compliant health coverage to its employees. Electronic filing is required if the employer files at least 250 returns.

A small employer (an employer with less than 50 full-time and full-time equivalent employees) files Forms 1095-B (Health Coverage) and 1094-B (Transmittal of Health Coverage Information Returns) if it has a self-insured health plan. Small employers that are part of an aggregated group with other related employers due to common ownership or services may be required to file Forms 1095-C and 1094-C if they have a self-insured or insured health plan, or don’t have any health plan.

Although the IRS extended the due date for providing the 2017 Forms 1095-B and 1095-C to employees, it did not extend the due date for submitting the forms to the IRS. Forms 1095-B and 1095-C for 2017, along with the transmittal Forms 1094-B and 1094-C, must be filed with the IRS by Feb. 28, 2018, if filed on paper, or April 2, 2018, if filed electronically.

Employers can be subject to penalties of up to $520 per return for failing to timely file the returns with the IRS and furnish them to employees. Penalties also apply for failing to provide complete or correct returns. However, the IRS has indicated that it will not impose penalties for incomplete or incorrect returns for 2017 if the employer makes a good faith effort to comply with the information reporting requirements and provides the forms to employees and the IRS on a timely basis.

For more information on these information reporting requirements, please read Information reporting requirements under the Affordable Care Act


Jill Harris

Senior Director

Jill helps businesses with planning and compliance for employee welfare and retirement plans. She can be reached at jill.harris@rsmus.com.

Areas of focus: Washington National TaxAffordable Care Act