The IRS announced that it has extended the 2018 due date for certain entities to provide 2017 health coverage information forms to individuals. Insurers, self-insuring employers, other coverage providers, and applicable large employers now have until March 2, 2018, to provide Forms 1095-B or 1095-C to individuals, which is a 30-day extension from the original due date of Jan. 31. Insurers, self-insuring employers, other coverage providers, and applicable large employers must furnish statements to employees or covered individuals regarding the health care coverage offered to them. Individuals may use this information to determine whether, for each month of the calendar year, they may claim the premium tax credit on their individual income tax returns.
This 30-day extension is automatic. Employers and providers don’t have to request it. The due dates for employer reporting to IRS is not extended. For 2018, the due dates to file information returns with the IRS are:
- Feb. 28 for paper filers
- April 2 for electronic filers
Because of the extensions, individuals may not receive their Forms 1095-B or 1095-C by the time they are ready to file their 2017 individual income tax return. While information on these forms may assist in preparing a return, the forms are not required to file. Taxpayers can prepare and file their returns using other information about their health coverage. They do not have to wait for Forms 1095-B or 1095-C to file.
Please see the link for Notice 2018-06 for more information.
2018 IRS Shared Responsibility Affordability Percentage
A reminder to all that the 2018 affordability percentage will be 9.56% of household income. This is a bit of a decrease from 2017’s 9.69% The 9.56% will also apply to the 3 safe harbors.
2018 Employer Mandate Penalties
The employer mandate “A” penalty for 2018: $2,320 ($193.33/month)
The employer mandate “B” penalty for 2018: $3,480 ($290/month)