IRS Notice Is a Reminder that ACA Is Still in Place

March 8, 2019

The Affordable Care Act (ACA) is still the law, and failure to comply can lead to stiff penalties. A recent IRS notice provided companies with a reminder.

Tom Hospod

Author

Sovos

This blog was last updated on March 11, 2019

The IRS recently published a notice reminding filers that, despite the repeal of the individual mandate of the Affordable Care Act (ACA) in last year’s tax reform bill, individuals must still indicate on their returns whether they had health coverage.

The ACA remains the law of the land for Tax Year 2018, with individuals still required to maintain and report coverage. The IRS will not consider a return complete and accurate if an individual does not report the relevant health insurance coverage information.

Penalties are still in place for companies that fail to comply with ACA reporting rules, and, in fact, companies that fail to properly execute ACA reporting could face penalties stricter than those that the IRS imposes for 1099 non-compliance.

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Tom Hospod

Tom Hospod is a Regulatory Counsel at Sovos Compliance. Within Sovos' Regulatory Analysis function, Tom focuses om Affordable Care Act (ACA) reporting, Tax Withholding, and Automatic Exchange of Information (AEOI). Prior to Sovos, Tom worked as a legislative aide in the Massachusetts House of Representatives. Tom is a member of the Massachusetts Bar, earned his B.A. from Boston College and his J.D. from the University of Miami.

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