A few weeks ago we reported on HR 3797, in which Congress provided employers with important health insurance reporting relief. Congress has recently added to those protections with the passage of HR 3801, called the “Employer Reporting Improvement Act”.

The following changes are included in HR 3801:

- Allowing employers to use electronic communication of 1095 forms if the employee has given written consent to receive those documents.

- Allowing employers up to 90 days to respond to a 226J letter levying a Shared Responsibility Payment.

- Adding a statute of limitations to the Employer Shared Responsibility Payment of 6 years from the calendar year the payment was initially due (clock begins on the due date for filing the initial return)

- If an employer is unable to get the TIN for an employee, they may instead use the employee’s full name and date of birth.

All changes are set to take effect beginning with January 1, 2025 returns. 

You can read the entire law HERE.