Employer Mandate Penalty Notices

View All Insights »

Under the Affordable Care Act (ACA), an Applicable Large Employer (ALE) may be subject to a penalty if it fails to offer its ACA defined full-time employees, and their dependents, minimum essential coverage that is affordable and provides minimum value.  Although the Employer Mandate went into effect on January 1, 2015, the Internal Revenue Service (IRS) has not sent out penalty notices.  New “Frequently Asked Questions” on the IRS website indicate they will start issuing notices in “late 2017” that will inform ALEs about potential liability for the 2015 calendar year.  We have issued a Briefing that includes an overview of the notice, the process for responding to the IRS and steps employers should take to prepare.