The Latest on the Affordable Care Act

affordable-care-act-obamacare-ACA-1080x663.pngThe following is a guest blog written by Eide Bailly’s Mankato Office to update our members on new tax compliance information related to the Affordable Care Act. Should you wish to discuss this topic and its impact on you or your business, please be sure to contact one of our fantastic member businesses with tax expertise.

Guest Blog by Eide Bailly

ACA compliance can be a daunting task. If businesses are not up to date with current laws, they could be at risk for some hefty penalties.

Recently, the IRS revised their FAQs on the Employer Shared Responsibility Provisions under the ACA. The most notable change was the addition on the procedures the IRS will be taking to enforce the “pay or play” employer penalties. The IRS will be releasing additional guidance on this, but it’s important to note that if an employer receives a letter from the IRS, Letter 226J, they will only have 30 days from the date of the letter to respond back to the IRS. This letter indicates that one or more employees received a subsidy and therefore section 4980(a) or (b) penalties could be assessed.

In order to help businesses understand these provisions and keep abreast of their filing requirements, Eide Bailly’s ACA Consulting team has developed a checklist for determining what steps need to be taken in order to ensure compliance.

For more information and to request ACA assistance, contact Tonya Rule at 507.386.6239. You can also view our Health Care Reform webpage for more information and timely insights.