IRS Issues Final Rule to Grant Automatic Extensions for ACA Reporting

Published March 07, 2023

The Internal Revenue Service (IRS) released a corrected amendment to its final rule published on December 15, 2022 titled, "Information Reporting of Health Insurance Coverage and Other Issues Under Sections 5000A, 6055, and 6056".

The amendment contains corrections to the final regulation that provide an automatic extension of time for providers of minimum essential coverage (including health insurance issuers, self-insured employers, and government agencies) to furnish individual statements regarding such coverage and an alternative method for furnishing individual statements when the individual shared responsibility payment amount is zero.

The amendment will be effective on March 8, 2023 and applicable to December 15, 2022.

(updated March 8, 2023)

The Internal Revenue Service (IRS) has issued a final rule titled, "Information Reporting of Health Insurance Coverage and Other Issues Under Sections 5000A, 6055, and 6056," which applies to health insurance issuers, self-insured employers, and government agencies as providers of minimum essential coverage. The final rule includes:

  • An automatic 30-day extension deadline to furnish statements to employees regarding coverage when the individual shared responsibility payment amount is zero, and
  • An alternative manner for reporting entities to furnish the required forms to individuals by posting “a clear and conspicuous notice” on the entity’s website offering a copy of their statement on request.

In addition, the Treasury Department and the IRS intend to revise instructions for Form 1094-B and Form 1095-B to communicate the rule’s permanent, 30-day automatic extension of time for furnishing the statements.

The final rule is effective for minimum essential coverage reporting requirements for months beginning after September 28, 2020, and for other reporting requirements by employers for calendar years beginning after 2021.

The final rule is effective on December 15, 2022.

(posted December 13, 2022)