Information on cell phone reimbursement from the IRS and employer reimbursement for taxable cell phones.

9.21.15

Excise taxes from the Affordable Care Act can be costly, but relief is available for groups that show good faith efforts to comply with regulation. A lot of data is needed for ACA reporting, so the IRS will allow for short-term relief for incomplete or incorrect returns filed in 2016 for coverage provided in 2015.

You may qualify for short-term relief for ACA reporting.

When Short-term Relief is Available

You may receive relief from penalties if they show that:
• If you show a good faith effort to collect required data (for example, SSNs for all covered lives)
• Failure to report was due to reasonable cause (which is up to the IRS’ discretion)

This relief allows groups extra time to develop procedures to collect data and comply with the ACA reporting requirements. However, short-term relief may not be available if:
• No good faith effort was made to comply
• There was a failure to file an information return or furnish a statement in a timely manner

Preparing for ACA Reporting with my aca partner

Even though short-term relief is possible for ACA reporting, the best plan of action would be to get all of your data in order in time for 2016. That way, you can mitigate any potential penalties and have a system in place for when relief might not be an option.

my aca partner can help you get your business or organization’s reporting ready through regular data reviews and contact with a team of ACA experts. Contact Vicki Trettel at 330.867.7350 today to schedule an appointment.

Brian Morgan, CPA/Senior Manager – Audit & Assurance