IRS Extends Due Date for 2016 ACA Employer Forms

By Cynthia Boyle Lande

On November 18, 2016, the IRS issued Notice 2016-70, which extends the due date for certain forms required to be provided to employees of applicable large employers (or ALEs) under the Affordable Care Act. Under Notice 2016-70, the deadline for distributing the Form 1095-C to full-time employees was extended from January 31, 2017 to March 2, 2017. Notably, the deadline for filing the Form 1094-C and 1095-Cs with the IRS was not extended. The IRS filings must still be completed by February 28, 2017 if filed by paper, or March 31, 2017 if filed electronically.

Notice 2016-70 also extends two other pieces of transition relief that applied during the 2015 filing season. First, individuals who do not receive a Form 1095-C in time to file their individual return may rely on other information received from their employer for purposes of reporting health insurance offered by their employer. Additionally, Notice 2016-70 extends the good-faith transition relief afforded to 2015 filings under the final ACA regulations. Employers who can show that they have made a good-faith attempt to comply with the ACA information reporting requirements will not owe a penalty for incorrect or incomplete information reported on their return or statement. This good-faith relief does not apply to employers who fail to file or furnish a statement by the applicable due date.

If you have any questions about your reporting or other obligations under the Affordable Care Act, you should contact your BrownWinickemployee benefits attorney.