February 12, 2014
IRS Posts New 'Questions and Answers' on Final PPACA Employer Responsibility Rules
As we reported in the February 10 Benefits Byte, the U.S. Treasury Department and Internal Revenue Service (IRS) have released final regulations implementing the “Employer Shared Responsibility” provisions (commonly known as the “employer mandate” or the “pay-or-play mandate”) under Section 4980H of the Internal Revenue Code, as added by the Patient Protection and Affordable Care Act (PPACA).
The IRS has posted a series of questions and answers on its website to provide additional information on the new rules. The Q&A guidance covers:
- Basics of the Employer Shared Responsibility Provisions
- Which Employers are Subject to the Employer Shared Responsibility Provisions
- Identification of Full-Time Employees
- Liability for the Employer Shared Responsibility Payment
- Calculation of the Employer Shared Responsibility Payment
- Making an Employer Shared Responsibility Payment
- Transition Relief
- Basics for Small Employers
- Additional Information
A Treasury Department fact sheet had been issued previously, along with the final regulations.
The Council continues to review the regulations and will release a Benefits Blueprint summary shortly. We will also schedule a series of “P4P … Preparing for PPACA” webinars to discuss the guidance, beginning in early March. For more information on the regulations, contact Kathryn Wilber, senior counsel, health policy, at (202) 289-6700.