The Internal Revenue Service (IRS) has posted a packet of Patient Protection and Affordable Care Act (PPACA) tax form drafts.
Documents now available for Labor Day beach reading include the drafts of Form 1095-A, the Health Insurance Marketplace Statement; Form 1095-B, Health Coverage; Form 1095-C, Employer Provided Health Insurance Offer and Coverage; and the instructions for those forms.
The forms are supposed to help individual report on use of any PPACA public exchange plan subsidies, and to show whether they have enough health coverage to get out of paying the new PPACA penalty to be imposed on many people who fail to have what the IRS classifies as a minimum level of coverage. This year, for most affected taxpayers, the penalty will be 1 percent of income.
Employers and their benefit plan administrators are supposed to use Form 1095-C to give workers the information they need to avoid the PPACA penalty and to apply for PPACA coverage subsidies.