eLABORate: Another Provision of Health Care Reform Delayed

July 10, 2013

Last week, the Internal Revenue Service announced that the “shared responsibility” provisions of health care reform, including certain related reporting requirements, would be delayed until January 1, 2015. Yesterday evening, the Internal Revenue Service confirmed that the information reporting requirements under Sections 6055 and 6056 of the Internal Revenue Code were included in the postponement.

IRS Notice 2013-45 postpones until 2015:

●          Reporting required under Code Section 6055, which requires every “person” who provides “minimum essential coverage” (including employers) to report with respect to group health arrangements: (i) the name, address and social security number of each primary insured; (ii) the name, address and employer identification number of the employer that sponsors the arrangement; (iii) the dates during which each primary insured was covered; (iv) the portion of the premium paid by the employer; and (v) other information yet to be specified, permitting a determination concerning the value or cost of coverage.

●          Reporting under Code Section 6056, which requires each large employer (more than 50 full-time employees) to certify whether employees were offered the opportunity to enroll in minimum essential coverage and to provide with respect to such coverage: (i) the applicable waiting period; (ii) the months during the year in which coverage was available; (iii) the monthly premium; (iv) the employer’s share of the cost of benefits provided; and (v) the number of full-time employees covered each month and their individual names, addresses and months covered.

For 2014, which is labeled a “transition period,” employers are “encouraged” to voluntarily comply with the reporting obligations, but no penalty will be assessed for failure to report and no guidance to facilitate voluntary reporting has been issued. Finally, the notice reminds us that the effectiveness of all other provisions of health care reform has not been affected, at least not yet.