As of 2024, a significant change has been introduced to the delivery requirements for Forms 1095-B and 1095-C. Employers are no longer required to automatically mail these forms to employees. Instead, these forms must be provided upon request. This change stems from the Paperwork Burden Reduction Act and Employer Reporting Improvement Act, signed into law in December 2024. Here’s what employers need to know:
Key Points for Employers:
-
Employee Notification: Employers must provide clear notice to their employees that Forms 1095-B and 1095-C are available upon request. This notice can be provided in any accessible format, such as on the company website or through email.
-
Timeframe for Delivery: If an employee requests the form, the employer must provide it within 30 days of the request, or by January 31 of the following year, whichever is later.
-
Electronic Delivery: Employers can also deliver Forms 1095 electronically, provided the employee has consented to electronic communications. However, they must still meet all IRS requirements for electronic delivery.
-
IRS Filing Requirement: Even though employers are not required to send these forms to employees unless requested, they must still submit them to the IRS by the usual deadlines — March 31 for e-filing and February 28 for paper filing.
This change aims to reduce administrative burdens, particularly for businesses that previously mailed large volumes of forms. Employers must still ensure that they comply with IRS regulations regarding delivery and filing.