FINANCE

Final Payment Due for Contributing Entities That Opted for Two-Part Contribution The second transitional reinsurance contribution payment for the 2016 benefit year is due November 15, 2017 for issuers and certain self-insured group health plans (referred to as “contributing entities”) that did not previously pay the entire 2016 benefit year contribution in one payment. The contributions are part of […]

New Rates Effective January 1, 2018 The California cities of Mountain View, Richmond, and Santa Clara will raise their respective minimum wage rates for 2018. Mountain View On January 1, 2018, the Mountain View minimum wage will rise to $15.00 per hour (from $13.00 per hour) for eligible employees. Covered employees are entitled to these rights regardless of immigration status. An employer may not use […]

SHOPs Can Begin Relying on the Proposed Rule The U.S. Department of Health and Human Services (HHS) has issued a proposed rule to provide states with greater flexibility in the operation and establishment of the Small Business Health Options Program (SHOP) Exchange. Among other items, the rule proposes allowing employers to directly enroll in SHOP coverage […]

Eligible Employers Allowed to Reclassify Workers The IRS has released a video highlighting features of its Voluntary Classification Settlement Program. The program allows eligible employers to reclassify their workers as employees for future tax periods, with partial relief from federal employment taxes. To be eligible for the program, an employer must: Have consistently treated the workers to be […]

Federal Open Enrollment Deadline Remains December 15 Open enrollment for 2018 coverage in both the federal and state Health Insurance Marketplaces began on November 1 for individuals and families. However, the following state-based Marketplaces have open enrollment periods that extend past the federal Marketplace’s December 15 deadline for enrollment: California: Covered California’s open enrollment period […]

Notice & Other Requirements Clarified The Internal Revenue Service (IRS) has released guidance further clarifying the rules regulating qualified small employer health reimbursement arrangements (QSEHRAs). QSEHRAs—which are health reimbursement arrangements exemptfrom the Affordable Care Act’s market reforms—may be offered by employers with fewer than 50 full-time equivalent employees that do not offer a group health plan to […]

Business Owners Have Access to Helpful Tax Resources The Internal Revenue Service is reminding small business owners of the following helpful resources: The Small Business and Self-Employed Tax Center contains information for small businesses with assets under $10 million. The IRS Tax Calendar for Businesses and Self-Employed includes monthly tax due dates and actions. Users can subscribe to calendar […]

Law Creates New Procedures Governing Job Application Process California has enacted a “ban the box” law, effective January 1, 2018. Highlights of the law are presented below. Prohibited Employer Actions Employers with 5 or more employees are generally prohibited from: Including on any employment application—before the employer makes a conditional offer of employment to the applicant—any question that seeks the disclosure […]

  IRS Issues Guidance for Taxpayers on Reporting Health Coverage The IRS has announced that the upcoming 2018 filing season will be the first time that it will not accept electronically filed tax returns until taxpayers report their health care coverage pursuant to the individual shared responsibility provision (“individual mandate”) of the Affordable Care Act. In addition, […]

Some Tax Benefits Increase Slightly, Others Unchanged The Internal Revenue Service (IRS) has announced a number of inflation-adjusted tax items for 2018, some of which remain unchanged. Among other items, the annual dollar limit on employee contributions to employer-sponsored health flexible spending arrangements (FSAs) increases to $2,650 (up from $2,600). Other Items of Interest Other inflation-adjusted items for […]