Spotlight News at michbusiness.org

Today, the Internal Revenue Service announced  in Revenue Procedure 2014-61  the annual inflation adjustments for more than 40 tax provisions for 2015, including the tax rate schedules, and other tax changes. This Revenue Procedure provides details about these annual adjustments

The maximum annual employee contribution to a health flexible spending account plan is increasing to $2,550 for 2015 (up $50 from the $2,500 limit that has applied since 2013).

Statement of Enforcement Discretion regarding 45 CFR 162 Subpart E - Standard Unique Health Identifier for Health Plans

The IRS issued a notice on November 4, 2014 concluding that a health plan that does not provide substantial coverage for inpatient hospitalization and/or physician services will not qualify as a "minimum value" plan under the Affordable Care Act.

Question:  One of my clients has 75 employees and has never offered health coverage to its employees and it does not plan do so in the future.  When would it have to comply with the employer mandate, 2015 or 2016?

The Department of Health & Human Services announced that the requirement for "controlling health plans" (generally speaking, large self-insured health plans) to obtain and begin using an HPID by November 5, 2014 has been delayed until further notice.

From Larry Grudzien, Attorney-At-Law

In recent months, some employers were considering providing cash reimbursements to employees for the purchase of individual marketplace policies as a means of avoiding compliance with the market reform and other provisions under the Affordable Care Act.  The Department Of Labor has issued several rounds of guidance indicating that this was not permissible.

The Centers for Medicare & Medicaid Services (CMS) released a software
enhancement to the Health Plan and Other Entity Enumeration System (HPOES).

On Sept. 18, the Internal Revenue Service (IRS) released guidance to address two situations in which a Section125 cafeteria plan participant is permitted to revoke his or her election during a period of coverage.