Compliance support service
Employer Reporting Review
The IRS is getting tougher on employer reporting errors. Employers should be extra careful in reviewing forms 1094 & 1095 before providing to employees and submitting to the IRS. For more information on the IRS ending good faith relief for reporting errors, read our article here.
Need Help Responding to an IRS 226J Proposed Penalty Instead?
Benefit Comply has a team of ACA experts who can help an employer understand the Letter 226J and provide assistance in developing the employer’s response to the IRS.
We Can Help
We can review your reporting to help identify where there is missing information, incorrect coding combinations, or a risk of penalty under §4980H (the “employer mandate”).
1
Information Collection & review
We will collect & review the necessary information you provide (including coding for up to 100 employees).
2
Report
We respond with a report indicating where there may be incomplete information, coding that doesn’t reflect the coverage offered, invalid coding combinations, or coding indicating a possible §4980H penalty.
3
Confirmation
We confirm whether your reporting generally reflects the coverage you offered and contains appropriate coding combinations for all 12 months of the year. *
*With this review, we cannot guarantee that an employer has correctly defined employment status as full-time or not, whether the employer has fully complied with §4980H offer of coverage requirements, or that the employer reporting is fully complete and accurate.
Initial Review fee of $500
The IRS can impose a penalty of up to $580 for errors on a single employee’s forms!
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After our initial review, if you need further help understanding what is required under §4980H offer of coverage requirements, how to determine full-time employee status, how to determine minimum value or affordability, or how to code the forms, we would be happy to be of further assistance on a fee-for-service basis.
To provide this service, we will collect the following information:
1
Form 1094-C
We collect a copy of the form 1094-C.
2
Form 1095-C
We collect copies of up to 100 Form 1095-Cs, or a spreadsheet with the coding data.
3
Eligibility information
Which employees are eligible for medical coverage? Is coverage offered to spouses and dependents as well? Is full-time status measured monthly, or does the employer use a look-back measurement period? What is the plan waiting period? Does coverage terminate the date employment terminates, or does it continue through the end of the month?
4
Offer of coverage information
Does the medical coverage provide minimum value (60% or better actuarial value)? What is the monthly employee contribution for single coverage (if there is more than one option, provide the amount for the lowest cost minimum value plan offered)? Are any of the medical plans self-funded?