Electronic ACA information returns can still be filed

Although the June 30 deadline for applicable large employers, self-insured employers and other health coverage providers to electronically file Patient Protection and Affordable Care Act (ACA) (P.L. 111-148) information returns with the IRS has passed, the ACA Information Returns (AIR) system will remain up and running after the deadline. Those who were not able to submit all required ACA information returns by June 30 may complete the filing after the deadline.

The IRS noted that the AIR system will continue to accept information returns filed after June 30 and required system testing can also be completed after that date. In addition, if any of the transmissions or submissions were rejected by the AIR system, filers have 60 days from the date of rejection to submit a replacement and have the rejected submission treated as timely filed. Further, if a filer submitted and received “Accepted with Errors” messages, the filer may continue to submit corrections after June 30, 2016.

The Service said it is aware that some filers are still in the process of completing their 2015 tax year filings. Penalties may be associated with the submission of the ACA information returns for failure to timely file required returns. Filers of Forms 1094-B, 1095-B, 1094-C and 1095-C that missed the June 30, 2016, due date will not generally be assessed late filing penalties under Code Sec. 6721 if the reporting entity has made legitimate efforts to register with the AIR system and to file its information returns, and it continues to make such efforts and completes the process as soon as possible. Filers that are assessed penalties may still meet the criteria for a reasonable cause waiver from the penalties.

Paper filers who missed the May 31, 2016, filing deadline should also complete the filing of their paper returns as soon as possible. (https://www.irs.gov/uac/quickalerts-library.)

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