The Affordable Care Act (ACA) added new employer reporting requirements under Internal Revenue Code (Code) Sections 6055 and 6056. These new requirements apply to employers that sponsor self-insured plans that provide minimum essential coverage (which includes employer sponsored coverage, COBRA coverage and retiree coverage) regardless of size, and applicable larger employers (ALEs).
An ALE is an employer that employed an average of at least 50 full-time employees (at least 30 hours per week), including full-time equivalents, during the preceding calendar year. The IRS will use the information reported to administer the premium tax credit and the employer shared responsibility provisions of the ACA.
