Compensation & Benefits Library™ gives you accurate answers and practical guidance to help you design, analyze, compare, administer, and communicate compensation and benefits...
Feb. 22 — Health coverage opt-out payments and the special rehire rules under the Affordable Care Act's employer mandate received the most ink from groups providing comments to the Internal Revenue Service and Treasury Department on December guidance that covered a hodgepodge of issues involving the health-care law.
The treatment of opt-out payments—funds employers give to workers only if they decline coverage under an employer-sponsored health plan—was a common concern among commenters, with the American Benefits Council and the National Business Group on Health voicing misgivings about the way the IRS and Treasury said in Notice 2015-87 that they intend to treat such payments.
The IRS and Treasury's plan to revisit the issue of the “special rehire rules” under the ACA's employer mandate—in tax code Section 4980H—received positive reviews from the National Education Association, AFL-CIO and Service Employees International Union, but their comments suggest there are some kinks to work out before any new rules are finalized.
Among other issues addressed in the comment letters was the IRS and Treasury's intentions to adjust the 9.5 percent affordability threshold for employer-provided health-care coverage, with the ABC, NBGH, AFL-CIO and the National Coordinating Committee for Multiemployer Plans all giving it the thumbs-up.
On Dec. 16, the IRS and Treasury issued Notice 2015-87, which reiterated that some relief was available for reporting under Section 6056 related to coverage offered in the 2015 calendar year. The notice, which was in a question-and-answer format, also clarified some areas of the employer mandate—or shared-responsibility provisions—and other topics related to the ACA.
The comment letters were dated Feb. 18, which was the comment deadline.
For more information, see Compensation and Benefits Library’s Tax Aspects of Health Plans Under the Affordable Care Act chapter.
To contact the reporter on this story: Kristen Ricaurte Knebel in Washington at email@example.com
To contact the editor responsible for this story: Jo-el J. Meyer at firstname.lastname@example.org
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)