Tax Tip of the Week | No. 263 | IRS Releases Draft Forms for ObamaCare
Tax Tip of the Week | Aug 13, 2014 | No. 263 | IRS Releases Draft Forms for ObamaCareGet ready for all of these new forms....
The Internal Revenue Service recently released draft versions of several forms for employers and individuals to comply with the Affordable Care Act, along with draft versions of more common forms such as the 1040 and 1040EZ for next filing season.Form 1094-B, the draft form for Transmittal of Health Coverage Information Returns, is a short form that asks for the filer’s name, Employer Identification Number, the name of the person to contact and their contact information, along with the number of Forms 1095-B submitted with the transmittal.Form 1094-C, a draft version of the Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns, asks for information about the “applicable large employer member,” or ALE member. An “applicable large employer” is considered to be an employer with 50 or more full-time employees or full-time equivalent employees.Form 1095-A provides a draft form for the Health Insurance Marketplace Statement, which asks for information about the recipient and the coverage household, including covered individuals, their dates of birth, coverage periods, monthly premium amounts, the monthly premium amount of the “second lowest cost silver plan” (which is used as a benchmark for determining the Premium Tax Credits available to members of a household), the amount of the monthly advance payment of the Premium Tax Credit, along with other details.Form 1095-B, a draft version of the Health Coverage form, requests information about the “responsible individual,” or policy holder, along with information on employer-sponsored coverage (such as the employer’s name, address and Employer Identification Number), and a section on the covered individuals.Form 1095-C is the draft form for Employer-Provided Health Insurance Offer and Coverage. It includes spaces for the offer of coverage, the employee share of lowest cost monthly premium for self-only minimum value coverage, along with fields for the covered individuals and their Social Security numbers.Form 8941, the draft form for the Credit for Small Employer Health Insurance Premiums, asks questions such as whether the employer paid premiums during the tax year for employee health insurance coverage provided through a Small Business Health Options Program Marketplace or if the employer qualifies for an exception to this requirement. The form relies on information from worksheets for calculating full-time equivalent employees, state premium subsidies and other information.Form 8962, a draft version of the Premium Tax Credit form, includes sections for the annual and monthly contribution amount, the Premium Tax Credit claim and a reconciliation that must be performed of any advance payment of the Premium Tax Credit, repayment of excess advance payment of the Premium Tax Credit, shared policy allocations, and an alternative calculation for the year of marriage.Form 8965, a draft version of the form for Health Coverage Exemptions, is for people who have been granted a coverage exemption from one of the marketplace for health insurance plans. The form requests Social Security numbers and exemption certificate numbers of any individuals who have been granted exemptions. It also asks whether they are claiming a hardship exemption or other coverage exemption because their household income or gross income falls below a filing threshold.Looks like another interesting tax season next year!
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