1095-B, 1095-C Forms for 2017: Updates from IRS

The IRS has announced an extension for employers and insurers to furnish forms 1095-B and 1095-C for 2017 coverage. This might result in tax payers not having these forms to file taxes before April 15th, 2018.

• Employers must supply 1095-B to employees they provided coverage to in 2017 by March 2, 2018.
• Insurers must supply 1095-B to those enrolled for coverage in 2017 by March 2, 2018.

Tax filers are being provided good-faith protections from penalties if they file taxes prior to receiving their 1095-B and 1095-C forms for 2017 federal taxes. Tax payers may use information from other records and their employer to complete the health coverage reporting requirements, including for adjusting premium tax credits.

• “Reporting entities that can show that they made good-faith efforts to comply with the information-reporting requirements. This relief applied only to furnishing and filing incorrect or incomplete information reported on a statement or return, and not to a failure to timely furnish or file a statement or return.” IRS Notice 2018-6
• “Because of the extension granted under this notice, some individual taxpayers may not receive a Form 1095-B or Form 1095-C by the time they are ready to file their 2017 tax return. Taxpayers may rely on other information received from their employer or other coverage provider for purposes of filing their returns, including determining eligibility for the premium tax credit under section 36B and confirming that they had minimum essential coverage for purposes of sections 36B and 5000A. Taxpayers do not need to wait to receive Forms 1095-B and 1095-C before filing their returns. Individuals need not send the information relied upon to the Service when filing their returns but should keep it with their tax records. ” IRS Notice 2018-6

The full IRS Update:

New Due Dates for Furnishing the 2017 Forms 1095-B and 1095-C to Individuals

The due dates for the 2017 information reporting requirements under I.R.C. §§ 6055 and 6056 have been extended.

–The due date for furnishing the 2017 Form 1095-B, Health Coverage, and Form 1095-C, Employer-Provided Health Insurance Offer and Coverage, to individual has changed from January 31, 2018, to March 2, 2018.

–The due date for filing with the 2017 Form 1094-B, Transmittal of Health Coverage Information Returns, and Form 1095-B, and the 2017 Form 1094-C, Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns, and Form 1095-C with the IRS remains unchanged. The due date is February 28, 2018; if filing electronically, the due date is April 2, 2018.

As a result of these extensions, individuals might not receive a Form 1095-B or Form 1095-C by the time they file their 2017 tax returns. For more information, see Notice 2018-06.

Read the entire IRS Notice 2018-6