While Healthcare Reform continues to change, it’s important to remain up to date with how those changes may affect your business.
Although Congress passed health care reform in 2010, many of its most sweeping provisions have delayed effective dates. 2014 is a critical year for individuals and businesses. The enclosed timeline highlights the key tax provisions that take effect from 2013-18.
For example, we address:
- The higher deductibility threshold for medical expenses, which will need to be reflected on individual tax returns for 2013.
- The individual responsibility penalty, which applies beginning in January 2014 to most individuals who do not maintain health insurance coverage for themselves and their tax dependents.
- Premium tax credits becoming available in January 2014 to assist low- and moderate-income families to purchase health insurance coverage on Exchanges established by the law.
- New restrictions starting in 2014—on allowing employees to pay for individual policies on a pre-tax basis through a cafeteria plan.
- Penalties for larger employers that do not offer health coverage to their employees— or that offer coverage that is considered unaffordable or inadequate. A related provision requires larger employers to report information about their employees and their coverage to the IRS. These provisions will take effect in 2015.
Beyond the tax provisions, health care reform also includes far-reaching insurance market reforms, notice requirements, and health plan benefit mandates. Thomson Reuters offers a comprehensive set of tools and learning opportunities to help you navigate the tax and other provisions of the health care reform law. Click here to view the full report on tax changes in health care reform legislation.