A Post-Thanksgiving Treat: IRS Extends Certain ACA Reporting Deadlines and Transition Relief

The IRS provided welcome news to employers preparing to comply with the Affordable Care Act’s (“ACA”) information reporting requirements in early 2020 for the 2019 calendar year. In particular, Notice 2019-63 (the “Notice”) extends the deadline to furnish Forms 1095-B and 1095-C to employees. The new deadlines are provided, below.

 

	Original Deadline	Extended Deadline
Form 1095-B (to employees)	January 31, 2020	March 2, 2020
Form 1095-C (to employees)	January 31, 2020	March 2, 2020

Importantly, the Notice does not extend the deadline for filing Forms with the IRS. Instead, the deadline to file with the IRS remains February 28, 2020 (for paper filings) and March 31, 2020 (for electronic filings).

The IRS will not accept automatic or permissive extensions to furnish Forms 1095-B or 1095-C to employees. However, employers may still seek extensions for filing with the IRS by submitting Form 8809.

The Notice also extends good faith transition relief for ACA reporting for the 2019 calendar year. As in prior years, employers who submit incorrect or incomplete information returns may be relieved from penalties if they can show good faith efforts to comply.

Despite the extended deadlines, employers may nonetheless wish to continue to gather the information required to complete, distribute and file the returns as soon as possible.

For more information about the ACA information reporting requirements, please see our October 17, 2019 SW Benefits Update, “2019 End of Year Plan Sponsor ‘To Do’ List (Part 1) – Health and Welfare.”