Affordable Care Act Update:
Now that the Supreme court has ruled on the Affordable Care Act, making it a business reality, companies must identify the requirements it places on them. While most of the provisions don’t go into effect until 18 months, there are reporting requirements companies need to comply with for calendar year 2012.
Employers must disclose the value of the benefits they provided beginning in 2012 for each employee’s health insurance coverage on the employees’ annual Form W-2s. This requirement was originally to be effective January 1, 2011, but was postponed by IRS Notice 2010–69 on October 23, 2010. (http://www.irs.gov/pub/irs-drop/n-2010-69.pdf)
For the calendar year 2012, companies with more than 250 employees are to report the total cost of employer-provided group-health insurance in box 12, Code DD, of 2012 Forms W-2, Wage and Tax Statement, which employees receive in January 2013.