Section 4980h

Section 10108 of the act enacted former section 139d of this title and section 18101 of title 42 amended sections 36b 162 4980h 6056 and 6724 of this title and section 218b of title 29 labor and enacted provisions set out as notes under sections 36b 162 4980h and 6056 of this title and former section 139d of this title.

Section 4980h. Enter code 2d for any month during which an employee is in a section 4980h b limited non assessment period. Any applicable large employer fails to offer to its full time employees and their dependents the opportunity to enroll in minimum essential coverage under an eligible employer sponsored plan as defined in section 5000a f 2 for any month and i r c. Section 4980h affordability rate of pay safe harbor.

The affordable care act added the employer shared responsibility provisions under section 4980h of the internal revenue code. Employee in a section 4980h b limited non assessment period. Shared responsibility for employers regarding health coverage text contains those laws in effect on september 25 2020 from title 26 internal revenue code subtitle d miscellaneous excise taxes chapter 43 qualified pension etc plans.

The following provide answers to frequently asked questions about the employer shared responsibility provisions. The esrp is actually an additional federal excise tax on employers and not a penalty. Section 4980h applies to applicable large employers generally employers who employed at least 50 full time employees including full time equivalent employees on business days during the preceding calendar year.

Referred to by employers and commentators as a penalty and even by the irs in certain publications the assessable payment under section 4980h is an employer shared responsibility payment or. Enter code 2g if the employer used the section 4980h federal poverty line safe harbor to determine affordability for purposes of section 4980h b for this employee for any month s. 4980h a 2.