IRS Archives - Page 2 of 10 - Employee Benefits I AP Benefit Advisors

IRS Announces 2020 Contribution Limits for Health Care FSAs and Qualified Transportation Plans

Today, the Internal Revenue Service announced the tax year 2020 annual inflation adjustments for more than 60 tax provisions, including the tax rate schedules and other tax changes (generally referred to as cost-of-living increases).  Revenue Procedure 2019-44 provides details about these annual adjustments. The 2020 tax items of greatest interest to our clients that are […]

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ACA Limits, Penalties and Fees – 2014 thru 2020

Employer Shared Responsibility (Employer Mandate) Plan Years 2020 2019 2018 2017 2016 2015 2014 Affordability Safe Harbor Percentage 9.78% 9.86% 9.56% 9.69% 9.66% 9.56% 9.50% Employer Mandate Penalties – Calendar Year Penalties 2020 2019 2018 2017 2016 2015 2014 Tier One: Failure to offer coverage or to offer to 95% of employees (70% for 2015) […]

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IRS Expands List of Preventive Care for HSA Participants

Please note:  In prior guidance, the IRS/Treasury have not included preventive care services or benefits meant to treat an existing condition.  With Notice 2019-45 that is changing for the better. Important Factors:   Under a notice issued Wednesday, July 17, 2019, HDHP enrollees can deduct contributions to a HSA (Health Savings Account) for some care […]

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ACA Limits, Penalties and Fees – 2014-2019

Employer Shared Responsibility (Employer Mandate) Plan Years 2019 2018 2017 2016 2015 2014 Affordability Safe Harbor Percentage 9.86% 9.56% 9.69% 9.66% 9.56% 9.50% Employer Mandate Penalties – Calendar Year Penalties 2019 2018 2017 2016 2015 2014 Tier One: Failure to offer coverage or to offer to 95% of employees (70% for 2015) $2,500 $2,320 $2,260 […]

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IRS Releases 2020 Limits for HSAs

On May 28, 2019, the IRS released Revenue Procedure 2019-25 It provides the 2020 inflation-adjusted amounts for HSA-qualified high deductible health plans (HDHPs). The inflation-adjusted increases for 2020 are: HSA-Qualified HDHP Self Coverage: Annual deductible must be $1,400 or more in 2020 (up $50 from 2019), and annual out-of-pocket expenses cannot exceed $6,900 (up $150 […]

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IRS Clarifies When an Employer May Recover Mistaken HSA Contributions

On December 28, 2018, the IRS Office of the Chief Counsel released Informational Letter 2018-0033 to clarify when employers can request to recover mistaken HSA contributions. This letter should be used to interpret IRS Notice 2008-59, the previous guidance that served as a primary source of information on HSA issues and administrative procedures. The letter […]

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Paid Leave Can Contribute to an Employer’s Bottom Line

The Tax Cuts and Jobs Act (TCJA), P.L. 115-97, signed into law at the end of December 2017 created a Federal Tax Credit for employers that provide paid family and medical leave to their employees in 2018 and 2019. On September 24, 2018, the IRS issued updated guidance in Notice 2018-71 (the Notice) on Internal Revenue Code […]

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IRS Announces 2019 Contribution Limits for Health Care FSAs and Qualified Transportation Plans

Today, the Internal Revenue Service announced the tax year 2019 annual inflation adjustments for more than 60 tax provisions, including the tax rate schedules and other tax changes (generally referred to as cost-of-living increases).  Revenue Procedure 2018-57 provides details about these annual adjustments. The 2019 tax items of greatest interest to our clients that are […]

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IRS Increases Some HSA Limits for 2019

With IRS Rev. Proc. 2018-30, the IRS provided several new increases to various categories that Individuals and Families may elect into a Health Savings Account (HSA) if they have a compatible HDHP (High Deductible Health Plan). For 2019, the annual contribution limitation for a person with self-only coverage under a high-deductible health plan is $3,500, […]

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Reference Charts for ACA-Healthcare Reform, HSAs, FSAs and PCORI/CERF Fees

Healthcare Reform Timeline – Perpetual timeline of all healthcare reform updates from 2010 to 2020 (and 2022-when the Cadillac Tax is scheduled to “begin”). Consumer-Driven Healthcare Options – Medical Savings Account (MSA), Health Savings Account (HSA), Flexible Savings Account (FSA) and Health Reimbursement Arrangement (HRA) – descriptions, details, pros and cons of each plan type, […]

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