Our partners at Ameriflex have prepared a nice summary of recent IRS guidance for large employers around requirements to file Form 1094-C (transmittal form – like a Form 1096 summary of all your company’s 1099s) and 1095-C (individual proof of insurance – like a Form 1099 for non-employee compensation) in early 2016 for tax year 2015. Luckily, only large employers with 100 or more employees must comply in 2016 (for tax year 2015) while with 50 to 99 employees have another year to get ready for the reporting requirement. In this article, the guidance mostly applies only to Forms 1094-C and 1095-C, which are required by employers with 50 or more employees (some in early 2016, the rest in early 2017)
If your mind is now spinning, then we think you’ll agree the time for processing payroll in house by SMBs has passed. Contact us today about outsourcing this awful task and all of its compliance stuff. Your time will be much better spent serving existing customers and prospects instead of burning the midnight oil over IRS Publication 5196, Understanding Employer Reporting Requirements of the Health Care Law (Feb. 2015).
By Brian Terrell of BTerrell Group, LLP, Intacct and Sage ERP & CRM provider based in Dallas.