Wednesday, October 21, 2020

IRS Issues Instructions for 2020 Reporting Forms 1094-1095



The Internal Revenue Service (IRS) has issued further instructions for 2020 reporting forms 1094-B, 1094-C, 1095-B, and 1095-C.

The instructions are as follows:

  • The due date for providing Form 1095-C to employees has been extended from January 31, 2021, to March 2, 2021.
  • If certain conditions are met, the IRS will not impose a penalty for failure to furnish Form 1095-C to any employee enrolled in an Applicable Large Employer (ALE)(50 or more Full Time Equivalent Employees) member's self-insured health plan who is not a full-time employee for any month of 2020.
  • The IRS will not impose a penalty for failure to file Form 1095-C with the IRS or failure to furnish Form 1095-C to employees if you make a good faith effort to comply with the information reporting requirements.
  • Form 1095-C has been modified with new codes for reporting offers of individual coverage HRAs (ICHRAs) and new lines for reporting required information.
  • The plan start month is required for the 2020 Form 1095-C. The ALE must enter a two-digit number.
  • Group Benefit Services can also help with this requirement for a fee.  If you need assistance, please do not hesitate to contact me at 410-239-5009.

Use the links below to access copies of the instructions.