IRS Extends Deadline to Issue Health Coverage Forms to Employees

3 Things You Need to Know

  1. The IRS has extended the due date for employers to provide 2018 health coverage information forms to individuals. Employers have until March 4, 2019.
  2. The extension means your employees may not receive Forms 1095-B or 1095-C by the time they are ready to file their 2018 individual income tax returns.
  3. While the information may assist in preparing tax returns, the forms are not required to file.

The extension is automatic

Applicable large employers, self-insuring employers, insurers, and other coverage providers now have until March 4, 2019, to provide Forms 1095-B or 1095-C to individuals. This is an automatic, 30-day extension from the original January 31st due date.

However, the extension means individuals may not receive their Forms 1095-B or 1095-C before they are ready to file their 2018 income tax returns. While information on the forms may assist in preparing taxes, Forms 1095-B or 1095-C are not required to file.

Employees should still retain Forms 1095-B and 1095-C for their records

Individuals can prepare and file their 2018 tax returns using other information about their health coverage. They should, however, retain Forms 1095-B or 1095-C for their records.

NOTE: While the Tax Cuts and Jobs Act effectively repealed the individual mandate to have health coverage that meets the ACA’s minimum standards for health insurance or pay a penalty, the repeal doesn’t take effect until the 2019 tax year.

By the way, the filing due dates have not changed

For employers and providers, it’s important to note that the IRS has not extended the due dates for filing 2018 information returns. For 2019, the filing dates remain the same:

  • February 28, 2019, for paper filing
  • April 1, 2019, for electronic filing

Good-Faith Relief

Regarding 2018 employer ACA filings, the IRS also stated it will continue to apply the same “good-faith” approach that applied to filings for the 2015, 2016 and 2017 calendar years.

IRS.gov references:

Notice 2018-94 (pdf)
IRS FAQs – Forms 1094-C and 1095-C