The IRS has been updating several forms for the 2016 tax year. We’ve seen the final updated Forms 1094-C and 1095-C. Form 1095-B has also seen some changes. The Form, which reports an individual’s health coverage, has some modifications. However, its transmittal form, Form 1094-B is unchanged. So what has changed with Form 1095-B? Here is a tip sheet:
Form 1095-B
· In Part I, Lines 2 and 3, as well as Part IV, Columns b and c clarify that a TIN other than SSN may be used, where in 2015 it was SSN only.
· Line 9 is now listed as “Reserved.” On the 2015 form, Line 9 reported the SHOP identifier, if applicable.
· In Part II, the header has been updated as "Information about Certain Employer-Sponsored Coverage." Previously, the header simply stated, “Employer Sponsored Coverage.” The update appears to suggest that not all employer sponsored coverage applies. This may have been necessary to clarify for employers that only medical employer sponsored coverage applies as opposed to dental employer sponsored coverage.
· In the Instructions for Recipient, under the second, “TIP,” the following sentences are added. “If you or another family member received employer-sponsored coverage, that coverage may be reported on a Form 1095-C (Part III) rather than a Form 1095-B. For more information visit the website. This addition clarifies that the individual may receive the alternate form, Form 1095-C.
· In the Instructions for Recipient, Line 9, the instructions note as “Reserved.” The 2015 Instructions noted “This line will be blank for 2015.” Presumably, the 2017 or thereafter, the IRS will input additional instructions.
· An additional page is provided for additional “covered individuals.”
Here is the link to the new Form 1095-B.
For more free help and resources with ACA compliance and reporting, click on one of these resources below:
5 Common ACA Compliance Mistakes
New Instructions for Forms 1094-C and 1095-C
Potential Penalties for 2016 Reporting