IRS Releases Publication 969 and Publication 503

IRS Releases Publication 969 and Publication 503

IRS Issues 2015 Version of Publication 969 on HSAs, HRAs, Health FSAs, and MSAs

Publication 969 has been updated for use in preparing 2015 tax returns. This publication provides basic information about HSAs, HRAs, Healthcare FSAs, Archer MSAs, and Medicare Advantage MSAs, including brief descriptions of benefits, eligibility requirements, contribution limits, and distribution issues.

There are only minor changes to the 2015 version. An IRS-reminder contains updated information about the federal tax treatment of same-sex married couples. The HSA contribution limits and HDHP deductibles and out-of-pocket maximums (“OOPmax,” see our timeline that includes the 2017 limits), and the Archer MSA deductibles and out-of-pocket maximums, have all been revised for 2015. Adjusted limits and thresholds for HSAs and HDHPs for 2016 have also been provided (see our chart, linked below). In addition, the publication notes that the limit on Health FSA salary reduction contributions for plan years beginning in 2015 increased to $2,550.

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IRS Releases 2015 Publication 503 and Form 2441 for Child and Dependent Care Expenses

The IRS has released the latest versions of Publication 503 and Form 2441 (and its accompanying instructions) for the 2015 tax year. Publication 503 explains the requirements that taxpayers must meet to claim the dependent care tax credit (DCTC) under code §21 for child and dependent care expenses. Taxpayers file Form 2441 with Form 1040 to determine the amount of their available DCTC, and dependent care assistance program (DCAP) participants must file the form with Form 1040 to support the income exclusion for their DCAP reimbursements. The 2015 versions of these items are substantially similar to their 2014 counterparts. If you or your employer offers a Dependent Care Reimbursement Plan then you may be interested in reviewing Publication 503 since it is the same guidance that is applicalbe to the types of dependent care expenses that would be eligible under your plan.

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For more information contact info@apbenefitadvisors.com. The information contained in this post, and any attachments, is not intended and should not be misconstrued as legal advice. You should contact your employment, benefits or ERISA attorney for legal direction.