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IRS delays ACA penalties on health reimbursement arrangements
Modern Healthcare

The Internal Revenue Service is delaying fines on small businesses that provide tax-free premium assistance to their workers to purchase insurance through the individual market. Those arrangements–known as health reimbursement arrangements (HRA)–don’t meet the coverage requirements of the Affordable Care Act. Businesses that offer such assistance in lieu of a health plan deemed affordable and sufficient under the law would be subject to a fine of $100 per employee per day.But the IRS issued guidance on Wednesday (PDF) delaying the assessment of those penalties until July 2015 for businesses with fewer than 50 employees.

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