**Updated December 09, 2021**
The IRS has recently extended the deadline for providers of minimum essential coverage (MEC) to furnish ACA tax forms 1095-C and 1095-B to eligible individuals by March 2, 2022 for the tax year of 2021. The proposed regulation is to offer an extension to all ALE’s (applicable large employer) to furnish statements relating to health insurance that the employer offers to its full-time employees. If the due date falls on a weekend or legal holiday, then the due date is the following business day. No additional extension will be granted for these forms.
In addition to the deadline extension of Form 1095-C, the form has now been modified with new codes: 1T and 1U for individual coverage that HRAs offered to the employee and spouse but not to dependents.
ACA Deadline Extension
Since 2015, the IRS has issued notices extending the deadline for employers to furnish ACA Forms 1095-C to their eligible employees. As of now, the IRS has yet to release any sort of deadline extension for tax year 2021 as it has in prior years. The industry-wide consensus is that it is unlikely there will be an extension announced at all.
Without an extension, the deadline to distribute employee copies of Forms 1095 will be January 31, 2022.
The deadlines to submit your ACA filing to the IRS remains the same. Paper filers must submit their filings by February 28, 2022 and electronic filers must submit their filings by March 31, 2022.
The lack of an automatic deadline extension for TY2021 provides employers and providers with less time to finalize their ACA data before distributing employee copies.
According to the TY2021 draft instructions, an extension can still be requested by sending a letter to the IRS with the appropriate information. This differs from e-file extensions in that approval is not automatic or guaranteed. If the requested deadline extension is approved, this typically grants a maximum of 30 extra days to furnish the recipient statements.
We’ve Got You Covered
We know the new deadlines can be stressful, but we are here to help!
Our file import process has been totally updated for the new year and will include support for many popular payroll/HCM vendors like ADP, Insperity, Sage, Quickbooks Online and many others. Many clients are able to drag and drop their data file into BoomTax and are ready to e-file in 5 minutes or less.
We also offer Print and Mail services for ACA filing where we can take care of printing, folding, stuffing, applying postage and mailing your recipient copies. Simply click ‘Order Print and Mail’ from your filing overview page to get started.
If you are planning on using our Print & Mail services, BoomTax advises that you have your data uploaded by January 20. This ensures you have sufficient time to review and verify your forms before distributing to employees. Print & Mail orders are advised to be finalized by January 24 to ensure timely delivery to recipients.
If you have any questions, concerns, or comments about our product, feel free to reach out to us.
BoomTax, The Boom Post, and its affiliates do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal or accounting advice. You should consult your own tax, legal and accounting advisors prior to engaging in any transaction.