If you haven’t put systems in place to provide the proper information to the IRS for the Affordable Care Act (ACA), now is the time. On June 29, 2015, the Trade Preferences Extension Act was signed into law, increasing the penalties for incorrect information returns. Penalties will be assessed for failing to file and filing incorrect or incomplete information.
|Description||Old Penalty Amount||New Penalty Amount|
|Penalty for filing incorrect returns (per return)||$100||$250|
|Penalty for incorrect returns if corrected within 30 days (per return)||$30||$50|
|Penalty for incorrect returns if corrected by August 1
|Penalty for intentionally disregarding to file timely and correct returns||$250||$500|
|Maximum penalty per calendar year||$1,500,000||$3,000,000|
|Maximum penalty per calendar year if corrected within 30 days||$250,000||$500,000|
|Maximum penalty per calendar year if corrected by August 1||$500,000||$1,500,000|
If you have over 50 FTE’s, you will be required in 2016 to submit the 1095-C form to remain in compliance with the ACA.
- Health insurance compliance
- Employee enrollment
- Dependent management
- Employee eligibility
- Annual reporting