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Employer Reporting Improvement Act
12/15/2023, 4:09 PM
Summary of Bill S 3204
One of the key provisions of the bill is the simplification of the reporting process for employers. This includes reducing the amount of paperwork and administrative burden placed on businesses when it comes to reporting employee information. The bill aims to make it easier for employers to comply with reporting requirements while still ensuring that the necessary information is being provided to the government.
Additionally, the Employer Reporting Improvement Act seeks to improve the accuracy of the information being reported by employers. This includes implementing measures to reduce errors and discrepancies in the reporting process, which can help to ensure that the government has access to reliable and up-to-date information about the workforce. Overall, the goal of Bill 118 s 3204 is to make the reporting process more efficient and effective for employers, while also ensuring that the government has access to accurate and reliable information about the workforce. This legislation is aimed at benefiting both businesses and the government by streamlining the reporting process and reducing the administrative burden placed on employers.
Congressional Summary of S 3204
Employer Reporting Improvement Act
This bill modifies provisions under the Patient Protection and Affordable Care Act that require employers and health insurance providers to prepare tax forms showing proof of minimum essential coverage (1095-B and 1095-C tax forms).
Currently, employers and health insurance providers that provide minimum essential coverage must report this information for each covered individual to the Internal Revenue Service (IRS), including the covered individual's Tax Identification Number (TIN). Employers and providers must also send a copy of this information to the covered individual (through 1095-B and 1095-C tax forms) by January 31 of each year.
The IRS allows for an individual's date of birth to be substituted for the individual's TIN if the TIN is not available. The IRS also allows employers and providers to offer 1095-B and 1095-C tax forms to individuals electronically. The bill provides statutory authority for these flexibilities.
Additionally, under current law, large employers (generally those with 50 or more full-time employees) are subject to an assessment by the IRS if they do not offer affordable minimum essential coverage. The bill requires the IRS to give large employers at least 90 days to respond after sending its first letter about a proposed assessment (Currently, the IRS generally gives 30 days to respond.) It also establishes a six-year statute of limitations for collecting assessments.
