The IRS is using the 1095C to ensure compliance with the affordable care act. They have finalized the form for 2015 reporting. Employers will have to complete the 1095C in 2016. Employers with 100 (50+ in 2016) and more employees are required to file these reports by February 2016 for 2015. The new reports are similar to Form W-2 or 1099 in their request of employee demographic data. Form 1095c will also require an employer to identify whether or not health coverage was provided, the type, and to whom (employee only, or dependents too), on a month-by-month basis. It raises the question of do we have that information? How are you tracking this information?
Don’t get caught having to scramble to create data manually when the new reports are due. Employer need to invest in a HRIS system that will resolve the compliance problems of Health Care Reform.