Are 1095-C Still Required?
The Affordable Care Act (ACA), often referred to as Obamacare, has been a significant part of the healthcare landscape in the United States since its implementation in 2010. One of the key provisions of the ACA is the requirement for employers to provide health insurance coverage to their employees. This requirement is outlined in Form 1095-C, which employers must file with the IRS and distribute to their employees. However, with the ongoing debate about the future of the ACA, many are asking whether the 1095-C form is still required.
The 1095-C form is designed to help the IRS determine whether individuals have met the individual mandate requirement under the ACA. The individual mandate requires most Americans to have qualifying health coverage or pay a penalty. Employers who offer health coverage must file Form 1095-C to report information about the coverage they offer to their employees. This includes details such as whether the coverage is affordable and meets minimum value requirements.
Despite the ongoing discussions about the ACA, the 1095-C form is still required for the 2022 tax year. This means that employers must file the form with the IRS and distribute copies to their employees by March 2, 2023. Failure to comply with these requirements can result in penalties and fines.
However, the future of the 1095-C form remains uncertain. The Trump administration had proposed repealing the individual mandate penalty, which could potentially impact the need for the 1095-C form. Additionally, the Biden administration has indicated that it will continue to enforce the ACA, including the individual mandate. This means that the requirement for employers to file Form 1095-C could persist, at least for the foreseeable future.
It’s important for employers to stay informed about the latest developments regarding the ACA and the 1095-C form. While the form is still required for the 2022 tax year, employers should be prepared for potential changes in the future. Staying compliant with the current regulations can help avoid penalties and fines, and it’s essential for maintaining good standing with the IRS.
In conclusion, the answer to whether 1095-C forms are still required is yes, at least for the 2022 tax year. Employers must continue to file the form with the IRS and distribute copies to their employees. However, the future of the form remains uncertain, and employers should stay informed about any changes to the ACA and the individual mandate.
