With the enactment of the Affordable Care Act and Health Care and Education Tax Credits Reconciliation Act of 2010, comes new provisions and changes to the US tax code, creating tax implications for individuals and businesses.
Healthcare Exchanges (Marketplaces) are now open – some are run by the state you live in, while others are run by the federal government. Please visit the ClaimLinx Exchange for more information.
Related Post: 2014 Tax Changes Checklist
2014 Health Care Reform Law & Tax Provisions:
- Individual health care minimum essential coverage mandate/penalties/subsidies.
- Individuals may be eligible for the new advance Premium Tax Credit that will lower your monthly premium.
- In 2014, the basic penalty for individuals not adhering to the mandate is $95 or 1% of your yearly income (whichever
- is higher), with substantial increases in subsequent years.
- Exchanges are available to individuals and small businesses.
- Small Employer Health Care Tax Credit
- No annual limits on coverage in grandfathered individual and group plans.
- No preexisting condition exclusions for individuals.
- Employee awards for wellness programs permitted
- Annual fee on health insurance providers (for net premiums written after 2012).
- Increases in required estimated tax payments for large corporations.
- Flexible Spending Arrangements (FSA) contributions are limited to $2,500 per year starting in 2013 and indexed for inflation after that.
Related Post: US Health Spending Expected to Grow 5.8% Annually
If you have additional questions, please feel free to contact us at 513-677-6262; (800) 858-1772 or firstname.lastname@example.org – we would be happy to help.