Determine Responsibility for Information Reporting Under the Affordable Care Act (ACA)
When to Use This Flowchart
Use the Determine Responsibility for Information Reporting Under the Affordable Care Act (ACA) flowchart to determine which entity is responsible for complying with Internal Revenue Code (IRC) Section 6055 and Section 6056 reporting requirements.
The ACA created two annual information-reporting requirements:
- Under Section 6055 of the IRC, self-insured employers, health insurance issuers, government agencies and other health coverage providers must report information on each individual to whom minimum essential coverage (MEC) was provided.
- Under Section 6056 of the IRC, every applicable large employer (ALE) subject to the ACA's employer shared responsibility (or pay or play) mandate must report the terms and conditions of the health care coverage the employer offered to its full-time employees.
This flowchart is valuable since it can help an employer determine if it is subject to the complex ACA information-reporting requirements and, if so, what forms it is required to file.
Key Steps
- Does the employer have 50 or more full-time employees?
- Does the employer offer health insurance coverage through a self-insured plan?
- Does the employer offer health insurance coverage through an insured health plan?