IRS Releases Proposed ACA Rules On Employer ‘Shared Responsibility’

The Internal Revenue Service Dec. 28 released long-awaited proposed regulations on the “shared responsibility” provisions under the Affordable Care Act on employer-provided health coverage (REG-138006-12).

Starting in 2014, tax code Section 4980H, added by the ACA, will require employers with at least 50 full-time and/or full-time equivalent employees (FTEs) to offer affordable health care coverage that provides a minimum level of coverage or pay a penalty.

According to Section 4980H, an employee is considered to be full time if he or she works at least 30 hours per week, and the proposed regulations “would treat 130 hours of service in ...