How to Avoid Receiving Letter 226J and IRS penalties
IRS Letter 226J is the official notification of a proposed Employer Shared Responsibility Payment (ESRP). While technically a penalty for failing to offer health coverage, it is triggered by data reporting inconsistencies in Forms 1094-C and 1095-C that misrepresent an employer’s actual compliance… Read More
Employers Guide to IRS Form 1094-C for ACA Compliance
Introduction Complying with the ACA’s Employer Mandate is one thing; proving it to the IRS is another. While Form 1095-C reports on your employees, Form 1094-C reports on you. Many organizations treat… Read More
How to Prepare for an ACA Audit: A Step-by-Step Guide
The IRS has increased its scrutiny of Affordable Care Act (ACA) compliance, issuing penalty notices to employers that fail to meet reporting requirements. With penalties for non-compliance reaching thousands — or even millions — of dollars, organizations must be prepared for an ACA… Read More
IRS Now Issuing Letter 5699 for 2022 Tax Year
It was only in January that the IRS began issuing penalty notices for the 2021 tax year. Now, a mere four months later, the tax agency has already started assessing penalty notices for 2022, namely Letter 5699. We have previously communicated that the IRS is becoming more efficient… Read More