New Jersey ACA Changes for 2023 Filing Season

New Jersey is among the few states that have implemented state Affordable Care Act (ACA) mandates. With the 2023 filing season right around the corner, New Jersey ACA Changes have been announced amongst filing requirements. 

New Jersey ACA Changes

There have been a couple updates regarding NJ ACA Requirements for the coming tax seasons. 

The first New Jersey ACA change regards the filing form count threshold. Filers who file more than 50 ACA Forms must transmit their data to NJ. This threshold has been lowered from 100 forms in previous years. 

The next New Jersey ACA change won’t go into effect until the next filing season in 2024. This change pertains to insurance purchased through the New Jersey State Exchange. Insurers will not be required to file ACA forms for 2023 insurance that is purchased through the state exchange. The Exchange will file Forms 1095-A with the NJ Division of Taxation that meet the filing requirements. 

For prior years, it is still the insurer’s responsibility to ensure that filings were completed for each required year from 2019 through 2022. NJ is encouraging any filers who missed their state filing requirement to file for those years. 

New Jersey Requirements 

Besides these New Jersey ACA Changes, the other filing requirements have remained the same as previous years.

NJ requires employers, insurers, and others whom provide coverage to NJ residents to: 

  • Transmit 1095 health coverage forms to the NJ Division of Taxation by March 31st.
  • Provide 1095-C form to each primary enrollee who was a part or full year NJ resident and whom the filer provided Minimum Essential Coverage (MEC)
  • Must ensure that NJ receives the appropriate 1095-C forms. NJ expects to accept new forms NJ-1095 and fully completed forms 1095-B or forms 1095-C and/or forms 1095-C with Parts I and III completed. 

Those who must file more than 50 ACA forms can send files directly to NJ that only include NJ residents, although the state will accept files that include data about non-NJ residents. 

Please note: filers who provide information about non-NJ residents should consult privacy and other laws pertaining to the states in which they reside prior to sending any personal or sensitive data to NJ. 

The specific ACA filing requirements for NJ vary depending on the insurance provided and the type of coverage provider (Applicable Large Employer (ALE), Non-ALE, other coverage provider, etc.). Learn more about these requirements here

Other Considerations

  • There is no paper filing option available for the state of NJ.
  • If you are an employer of a New Jersey resident, or if you provide Minimum Essential Coverage to a New Jersey resident, you must e-file your ACA data.

Conclusion

Employers must keep any applicable ACA state requirements in mind when completing their filings. It’s imperative that employers ensure that both state and federal requirements are met prior to each applicable deadline. 

Staying up to date with New Jersey ACA changes, other state and federal ACA changes, and keeping up with compliance efforts will help filers avoid filing penalties for ACA forms. This is incredibly important now more than ever, as fine amounts and tax enforcement are increasing.

If you’re looking for more information on ACA Summary Forms 1094-B and 1094-B to determine which type you need to file, download our Understanding ACA Summary Forms Guide here: 

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.

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