The Continuing Resolution passed by Congress last week outlines the below:
- Cadillac Tax delayed until 2022 – The ACA imposes a 40% excise tax on the value of high-cost employer-sponsored healthcare coverage exceeding certain thresholds. The dubbed “Cadillac Tax” has been delayed since the ACA inception and was scheduled to take effect in 2020, but now will be delayed further until 2022.
- Health Insurers Fee – From the start of the ACA in 2014, an annual fee on certain health insurers was passed on to their policyholders as seen on monthly bills and carrier renewals. The impact of this fee is estimated to be roughly 3 to 4 percent of health insurance costs. The fee was suspended for 2017 and has since been suspended for 2018 and 2019 as well.
- Medical Device Excise Tax – The ACA imposed a 2.3% excise tax on the sale of all medical device products. This tax was suspended for 2016 and 2017 and was set to resume for 2018. The tax has since been suspended for 2018 and 2019 also.
Here are some of the Key Dates and Deadlines for providing the IRS with 2017 ACA tax year information:
- February 28, 2018 – Deadline to file 1094-C/1095-C schedules if paper filing
- March 2, 2018 – Deadline to furnish 1095-C schedules to employees (extended from January 31)
- April 2, 2018 – Deadline to file 1094-C/1095-C schedules if electronic filing
- July 31, 2018 – Form 720 (PCORI) due from self-insured plans (includes partial self-funded HRA plans)
Are You Using MVP (Minimum Value Plans) As a Solution?
Please let me tell you the 5 reasons why this was a bad idea and continues to be a bad idea. Hint: Too expensive and too risky and totally unnecessary!