The U.S. Department of the Treasury has published proposed regulations that provide guidance on how an employer may determine whether its group health plan provides “minimum value.” This determination is important because a large employer (generally speaking, with 50 or more full-time employees) faces a $3,000 annual penalty (under Code section 4980H(b)) with respect to each … Continue Reading »
The U.S. Department of Health and Human Services has published final regulations that will enable plan sponsors and insurers to calculate their liability under the transitional reinsurance fee provisions of the Patient Protection and Affordable Care Act. Beginning in 2014 (and continuing for 2015 and 2016), employers and other sponsors of self-funded health plans, as well … Continue Reading »
The Internal Revenue Service has issued proposed regulations on the annual fee that health insurance companies must pay under the Affordable Care Act (ACA). To fund certain health care reform initiatives, the ACA requires health insurers to pay an aggregate fee of $8 billion in 2014 and larger amounts in subsequent years. The burden is to … Continue Reading »
The U.S. Departments of Labor, Treasury, and Health and Human Services have issued additional guidance on the Affordable Care Act. The guidance primarily takes the form of a new set of frequently asked questions(FAQs). The new FAQs address a variety of subjects, including: Postponement of the March 1, 2013, effective date to begin distributing … Continue Reading »
In regulations and other pronouncements issued toward the end of 2012, the government has provided further details on new taxes and fees introduced by the Affordable Care Act (ACA). Health plan sponsors will be particularly interested in the amounts that they will be assessed to fund various ACA programs. This guidance includes: Regulations, a fact … Continue Reading »
The Internal Revenue Service (IRS) released final regulations and other guidance on the excise tax applicable to the sale of certain medical devices under the Affordable Care Act. Beginning January 1, 2013, a tax of 2.3 percent is imposed on the sale, use, lease, or license of all medical devices by manufacturers and importers. In the … Continue Reading »
The Affordable Care Act (ACA) established the Patient-Centered Outcomes Research Institute and charged it with synthesizing and disseminating comparative clinical effectiveness research findings to help patients, clinicians, purchasers, and policymakers make informed health decisions. To fund this Institute, the ACA requires health insurers and self-funded group health plan sponsors to pay a fee for each … Continue Reading »
Following up on guidance issued last month, the Department of Health and Human Services has proposed two new sets of regulations and the Department of the Treasury has proposed one on the state-based health insurance marketplaces known as Affordable Insurance Exchanges. (To view our alert on the earlier guidance, click here.) The Patient Protection and … Continue Reading »
The U.S. Department of Health and Human Services has proposed two sets of regulations under the Patient Protection and Affordable Care Act (the 2010 health care reform legislation) relating to changes that will take effect in 2014. Although the new rules focus principally on what states must do to meet health care reform requirements, health … Continue Reading »
The three federal agencies that have published regulations on health care reform provisions (U.S. Departments of Treasury, Labor, and Health and Human Services) have furnished additional guidance on certain issues of particular importance to employers and other group health plan sponsors. A new set of Frequently Asked Questions and Answers addresses specific questions that many … Continue Reading »
The IRS has issued a notice explaining provisions in the recently enacted health care reform legislation that establish a federal income tax credit for small employers who implement or maintain health insurance coverage for employees. The notice clarifies various aspects of the new rules, including the following: To qualify for the full tax credit, an … Continue Reading »
In the first of what promises to be an ongoing series of tri-agency regulations, the Departments of Health and Human Services, Labor, and the Treasury have issued rules on one of the most controversial provisions in the health care reform legislation―the extension of coverage for children up to age 26. The guidance clarifies several key … Continue Reading »
Today the IRS issued the first installment of what is expected to be an avalanche of guidance on the new health care reform law. The guidance confirms that an employer-sponsored health plan may provide coverage free from federal income tax to an employee’s children up to age 27. This exclusion applies regardless of whether the … Continue Reading »
The newly enacted health care reform bill has fueled numerous questions by employers seeking direction on arguably the most important workplace decisions they will make in the next few years. Employers need to understand the issues and recognize the decision points and their ramifications. Jean C. Hemphill and Brian M. Pinheiro have identified frequently asked … Continue Reading »
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