Regulatory Resources

IRS Issues Alert on Sections 6055/6056 Return Filing

On June 30, 2016, the IRS issued a QuickAlert about the electronic Affordable Care Act’s (ACA) Sections 6055 and 6056 information return filing.

While the deadline to electronically file ACA information returns with the IRS was June 30, 2016, the ACA Information Returns (AIR) system will remain up and running after the deadline, according to the alert. 

Applicable large employers, self-insured employers and other health coverage providers that were not able to submit all required ACA information returns by June 30, 2016, should complete the filing of returns after the deadline.

Electronic Returns
According to the IRS alert:

  • The AIR system will continue to accept information returns filed after June 30, 2016. In addition, the required system testing can still be completed after June 30, 2016.
  • If any transmissions or submissions were rejected by the AIR system, filers have 60 days from the date of rejection to submit a replacement and have the rejected submission treated as timely filed.
  • Entities that submitted information returns and received “Accepted with Errors” messages may continue to submit corrections after June 30, 2016.  

The IRS is aware that some filers are still in the process of completing their 2015 tax year filings. According to the IRS alert:

  • As is the case for other information returns, penalties may be associated with the submission of the ACA information returns for failure to timely file required returns. 
  • As the IRS has publicly stated in various forums in recent months, filers of Forms 1094-B, 1095-B, 1094-C and 1095-C that miss the June 30, 2016, due date will not generally be assessed late filing penalties under section 6721 of the IRS Code if the reporting entity has made legitimate efforts to register with the AIR system and to file information returns, and it continues to make such efforts and completes the process as soon as possible. 
  • Consistent with existing information reporting rules, filers that are assessed penalties may still meet the criteria for a reasonable-cause waiver from the penalties.

Paper Returns
Entities that are not electronic filers and missed the May 31, 2016, paper filing deadline for ACA information returns should also complete the filing of paper returns as soon as possible, the IRS stated.

For more information on Sections 6055 and 6056, follow this link.