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Issue link: https://cpapracticeadvisor.epubxp.com/i/460060
26 February 2015 • www.CPAPracticeAdvisor.com You should schedule a few meet- i ngs w it h you r cl ients to d isc uss their current compliance status, as wel l as what needs to be done to i mprove compl ia nce. Rev iew t he number of full-time employees on st a f f a nd w het her t hey cou ld be c o n s i d e r e d a n a p p l i c a b l e l a r g e employer. If the Shared Responsi- bi l it y prov ision appl ies to t hem, discuss what is needed for compli- ance and how they can beter mon- itor and manage time and atendance tracking. You'll also want to review their eligibility for the Small Busi- ness Hea lth Care Ta x Credit and provide them with as much informa - tion to answer any questions they have. A ny businesses that are subject to the Shared Responsibility provision will need to fle Forms 1094-C and 1095-C to report health insurance c o v e r a g e o f f e r e d u n d e r t h e i r employer-sponsored pla ns. Help y o u r c l i e n t s u n d e r s t a n d w h a t information they need to prov ide and what records they will need to keep t h roug hout t he yea r. You r c l ient s won't be requ i red to f i le Forms 1095-C for 2014 but they will need to fle in 2016 for year 2015. In a d d i t i o n , t h e y m a y q u a l i f y f o r Tra n sit ion R el ief for A ppl ic able Large Employers for any penalties. A lso, this relief doesn't afect eligi- bility for the premium tax credit. A ny employer w ith 50 or more full-time and/or full-time equivalent employees w ill be required to f le Form 1095-C to report ofers of and enrollment in health coverage. Tey will also use this form to report any employees enrolled in self-insured coverage. Form 1095-C must also be fled for any retirees who were full- time employees during any month of the year. W hile ta x payers must receive a sepa rate For m 10 95 - C from each employer, employers can only issue one form per employee – e ven i f t h at employe e worked under two diferent divisions. Tis can get tricky if there is an acquired division that is processed separately under payroll. You will need to help your clients nav igate through the various scenarios that apply to them. If your clients are not subject to the Shared Responsibility provision, they will need to fle Forms 1094-B and 1095-B for any f u l l-time and p a r t - t i m e e m p l o y e e s w h o a r e en rol led i n t hei r employer-spon- sored health coverage. In addition to mak ing sure that clients are fling the correct forms, it's also important to let them know i f t hey f i le more t ha n 2 49 For ms 1095-C, they will need to fle elec- tronically. Seting this expectation u p f r o n t c a n g u i d e t h e r e c o r d - k e e pi n g pro c e s s a nd do c u me nt transmital. Tis is particularly true if you have any clients that are still not fully in the Cloud or transmit- ting documents electronically. Now is a good t i me to d isc u ss t ra nsi- tioning to a secure client portal. W it h 2 015 a l ready u nder w ay, work closely w it h you r cl ients to ensure that their systems and pro- cesses have been updated to collect all necessary data for calendar year 2015 a nd a re compl ia nt w it h t he ACA . Be prepared to answer any questions they have and check in with them regularly throughout the year to ma ke sure they are main- taining compliance. For more i n for m at ion on t he A f fordable Ca re Act, v isit A DP 's ACA Resource Page at htp://w w w. adp.com/health-care-reform/ . Are Your Clients ACA Ready? By Taija Jenkins, Assistant Editor N ow that the Affordable Care Act is completely under way, some business owners have found that they are not pre- pared to ensure compliance, particularly as new changes go into efect and they prepare to file their 2014 taxes. A s pay ro l l prac t i t i oner s , you r cl i ent s are looking to you to help them navigate through the challenges to ensure compliance. Payroll Accountant's Checklist for February ✓ Have clients check employees' requests for duplicate or corrected Forms W-2 to ensure they are signed by employees and the signatures are legitimate ✓ For corrected Forms W-2 issued to employees prior to fling, check the Void Box on Copy A, and insert "Corrected" at the top of Copies B, C and 2 ✓ File Copy A of all paper Forms W-2 and Form W-3 with the SSA and Copy A of all paper Forms 1099 and Form 1096 with the IRS by February 28 (or the next business day, if February 28 is a nonbusiness day) A YEAR IN THE LIFE: PAYROLL ACCOUNTANT