Smooth ACA Reporting for IRS Compliance: EXTENDED DEADLINE

Affordable Care Act reporting, the most complex workforce reporting ever required, is right around the corner for many U.S. businesses. Similar to requiring that every employee receive a W-2, some employees must also have a 1095-C form in their hands.

The original deadline of Feb 1 was just extended by the IRS to March 31, a bit of breathing room but not a reason to procrastinate! This statement about the availability of health care at your business is required whether or not you:

  • Have offered affordable health care to your full-time employees all along.
  • Have decided to pay the penalties for not offering coverage this year.
  • Employ between 50 and 99 workers and are not facing penalties related to Tax Year 2015 coverage.

You MUST fulfill the IRS reporting requirements around ACA compliance by sending 1095-C forms to certain employees and filing copies of them to the IRS (with the 1094-C transmittal form).

Be aware: The non-filing penalty is $500 per required return! If you act now, it is possible to produce 1095-C forms for your employees by March 31 and then be ACA-ready for filing copies with the IRS.

Our ACA reporting solution can help you.

  • It accepts data from any payroll or ERP system.
  • It is smart, comprehensive and cost-effective.
  • It can be deployed in one day.

Contact InterDyn BMI to learn more about ACA reporting technology.

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Affordable Care Act Reporting in Dynamics GP

Phase 1: Determine Eligibility, Begin Tracking

Phase 2: Reporting, Employees & IRS

 

Phase 1

Phase 1 was included in the 2014 Year-End Update

  • Track changes to records in place
    • Includes table/column changes for automatic AVA tracking in calendar year 2015
  • Included in Microsoft Dynamics GP 2013 and higher
    • No tracking available for Microsoft Dynamics GP 2010
  • Need to use Human Resources Management even if you only owned Payroll previously
    • GP PR customers own and should have the HR module installed with GP2013 +

What must you do to begin tracking?

  • Install the 2014 Year-End Update / GP2015 Jan hotfix
  • Make sure Human Resource is installed
  • Install Human Resources and Payroll Suite to utilize Deductions in Arrears (DIA)
    • Deductions in Arrears allows you to track uncollected deductions to ensure they are recovered in a future pay run.
  • Reconcile your Benefits from PR to HR
  • Enter your dependents and ACA information
    • Dependent info required only for self-insured plans

Look back period

  • Time clock information
  • UPR30300 detail by check, employee, code, year
  • UPR30301 summary by month
  • Employee Pay History report

Exchange

  • Extra Field
  • Secondary Status
  • Additional information

Benefit Master and Setup (HR)

  • BE010130
  • BE020230

Benefit History Tracking

  • HR_Benefit_History_2 (HR2BEN10)
  • HR_Benefit_Life_Hist (HR24BE17)
  • HR_Benefit_Retire_Hist (HR2BEN39)
  • HR_Benefit_Tiers_MSTR_Hist (HR2BEN40)

Phase 2

Who has to file?

All Applicable Large Employers (ALE members). ALE members are employers that employ 50 or more full-time employees on average. (A full-time employee is anyone who works more than 30 hours a week or more than 130 hours per month.)

When do employers need to file?

  • Due to employees by February 1 for 2016.
  • There is a waiver for employees with 50-99 employees for 2015. You MUST file 1094-C and sign the workforce was not decreased. (2016 = no waiver).
  • File by February 28 (And by March 31 if electronic).

If you have more than 250 employees, you must file electronically. GP will not file electronically (Would need a 3rd party such as Greenshades or Integrity Data Sypnio).

The IRS penalty for non-filing of mandated reporting has gone up to $500 per required return. Yes, this applies to ACA returns due Q1 2016: the much-talked-about Form 1095-C for employees and its transmittal, Form 1094-C.

E-filing of Form 1094-C (the transmittal of Form 1095-C) is required for submissions of 250 or more. E-filing functionality is not available in the ACA changes to Dynamics GP 2013 and GP 2015.

To be ACA compliant, entities that are commonly controlled or affiliated must consolidate reporting on Form 1094-C. With ACA changes to Dynamics GP 2013 and GP 2015, you can print Form 1094-C from employee records on a single database, but not from records on multiple databases. NOTE: this may mean employers using MEM with payroll.

GP: What needs to be set up? What is available to print?

  • Add ACA details to Health Insurance Enrollment for each employee:

 

NOTE: If employer has 250 or more FT employees, then one of the ISV products to be identified later in the session would be required for electronic filing. Data is not then pulled from this window in that case.

  • ACA Offer of Coverage available code options include:

  • Safe Harbor available code options include (regulations provide for three separate “safe harbor” methods that may be used by large employers to determine affordability):

  • Add Employee Dependent details for each employee (Dependents required only on self-insured plans):

  •  Prior to printing forms, you can edit the details as required:

  •  Print the 1095-C Navigation: Microsoft Dynamics GP >> Tools >> Routines >> Print W-2:

  • Forms Added/Updated within GP
    • Print W-2 (UPR_Year_End_Wage_Forms_Printing) 
    • Edit W-2 (UPR_Year_End_Editing_W2)  
  • Reports Added/Updated within GP
    • 1094-C Transmittal of Employer Health Ins
    • 1095-C Employer-Provided Health Insurance

Additional Resources Available to You

Fast Moving Healthcare Requires Fast Moving Technology

MSA13_DigMmt46Today’s healthcare facilities, including medical centers, hospitals, or senior living facilities, are often fast-paced operations that need to be able to capture data quickly.  Reliable, accurate data is needed to make prompt decisions that benefit patients as well as the facilities themselves.  Connect your busy people with the data they need using fast moving technology.

Healthcare facilities are often abuzz with people heading in multiple directions managing patients and caregivers, meeting with suppliers or vendors, and making sure operations are productive and profitable.  In the hustle and bustle of operations, your people need to be confident that the data they are working with is accurate.  Reliable data is not only necessary for those you serve, it’s necessary for your business to be profitable and compliant with regulatory agencies including the Open Payments Act (formerly known as the Sunshine Act).  Timing can be everything when it comes to compliance reporting.  Delays with getting up-to-date data can lead to delayed reporting, which could come with hefty fines.

Whether you operate one facility or several, you need the support of a strong enterprise resource planning (ERP) solution.  ERP can provide a strong foundation for managing all of your business operations including financials, inventory and supply chain, and other core data.  Many ERP solutions, including Microsoft Dynamics® GP, offer seamless connections with Concur Expense, another robust solution.  You can stay connected to your people whether they are on the road at networking events, meeting with customers or suppliers, or working between several of your facilities.  Your people can enter expenses as they are created by taking a photo of their receipts with a smartphone or tablet and attaching them to a mobile expense report that can be submitted much faster than traditional, paper-based methods.  As a result, your accounting team can have real-time financial data necessary for managing a profitable business and for various compliance reports.

Busy people don’t have time to figure out complicated specialty software or deal with the inevitable delays caused by entry-level solutions.  Offer your team the efficient, reliable technology that can provide transparency and support productivity and profitability.  Fast moving healthcare facilities require fast moving technology.  Contact InterDyn BMI to learn more about using ERP, Concur Expense and Mobile Apps, and other time-saving automations that can support your people and your business.

Learn how fast moving technology can improve your expense reporting by reading our free “Fix it” guide by Concur.

By InterDyn BMI, a Microsoft ERP and CRM Partner with offices throughout the United States