DOL Increases Penalties for Health Plan Violations

Jul 13, 2016 | Legislative Updates

OVERVIEW

On July 1, 2016, the Department of Labor (DOL) issued an interim final rule that increases the civil penalty amounts that may be imposed under various federal laws, including the Employee Retirement Income Security Act (ERISA). The interim final rule increases the civil penalty amounts associated with:

• Failing to file an annual Form 5500 (as applicable);
• Failing to provide the annual notice regarding premium assistance under the Children’s Health Insurance Program (CHIP); and
• Failing to provide the Summary of Benefits and Coverage (SBC), as required by the Affordable Care Act (ACA).

The increased amounts apply to civil penalties that are assessed after Aug. 1, 2016, for violations that occurred after Nov. 2, 2015. (more…)

IRS to Accept ACA Filings After June 30 Deadline

Jul 7, 2016 | Legislative Updates

OVERVIEW

The IRS has announced that electronic Affordable Care Act (ACA) information returns may continue to be filed after the filing deadline, which was June 30, 2016.

These returns are required under Internal Revenue Code (Code) Sections 6055 and 6056, which were created by the ACA. Certain employers must file their returns electronically through the ACA Information Returns (AIR) Program.

The IRS will not assess penalties for late filing on reporting entities that have made legitimate efforts to file information returns, if they continue to make efforts and complete the process as soon as possible. In addition, penalties may be waived in some cases, for reasonable cause. (more…)