The Bipartisan Budget Act of 2015, signed by President Obama on November 2nd, contains a buried provision with the potential to substantially impact employers. Section 701 of the Act significantly increases the maximum civil penalties that may be imposed for violations of the Occupational Safety and Health Act. OSHA penalties — which have not changed
The IRS issued Notice 2013-45 recently, the official guidance document explaining the one-year delay in the implementation of the employer pay-or-play penalties under the Patient Protection and Affordable Care Act (“PPACA”) health care reform.
As announced in a Treasury blog, the IRS has delayed for one year the information reporting requirements (found in sections 6055 and 6056 of the Internal Revenue Code) that apply to insurers, self-funded plans, government agencies and large employers regarding health plan coverage. This purpose of this delay is to allow the IRS addition time “for dialogue with stakeholders in an effort to simplify the reporting requirements” and for employers and other reporting entities to “develop their systems for assembling and reporting the needed data.” Since the collection of this information crucial for the IRS’ determination of an employer’s liability for pay-or-play penalties will not occur in 2014, the IRS has announced that it will not impose pay-or-play penalties for 2014. In the Notice, the IRS states that it expects that proposed regulations on the information reporting requirements will be issued later this summer.Continue Reading IRS Guidance On Delay in Implementing Pay-or-Play Penalties of ACA Health Care Reform Law
Employers have until the end of the year to take advantage of relief from penalties under section 409A of the Internal Revenue Code for agreements that require employees to sign releases before severance benefits are paid. Section 409A was enacted in 2004 to regulate deferred compensation. Internal Revenue Service ("IRS") regulations made clear that it…