If you are an employer and have filed more than 250 W-2 Forms during 2014, then you are required to report the total cost of employer-sponsored health benefits on your employees’ Form W-2. This ACA requirement took place for large employers for the 2012 tax year, with small employers being exempt from the reporting requirement until further notice from the IRS.
The reporting requirement is for informational purposes only, as it does not mean that the cost of the coverage is taxable to employees. The information needs to be shown in Box 12 of applicable employees’ Form W-2 and should be labeled with code “DD”.
If you have questions or would like additional information regarding this reporting requirement or another ACA requirement, please contact Patrick Beale or ask for a member of the Invincia Employee Benefits Team.