ACA Software Update
Affordable Care Act: 2016 Tax Year
Passport keeps your company compliant with federally mandated reporting requirements and changes. There are a few changes for the 2016 tax year. Passport’s Affordable Care Act Management Software supports these changes with its annual update.
In order to use the ACA features, you will need a license. If you acquired an ACA license for the 2015 reporting year, you must renew it and install the updates before filing for the 2016 ACA reporting year. Contact your PBS provider for instructions.
ACA Control information
There are changes to the Affordable Care Act regulations for year-end 2016. To reflect those changes certain Affordable Care Act Control information fields have been altered:
B. Reserved (formerly Qualifying Offer Method Transition Relief)
This field is part of the group of four Certifications of Eligibility for Form 1094-C fields.
The update changes this field label from Qualifying Offer Method Transition Relief to Reserved. The field can no longer be entered for 2016.
When you access the 2016 record, the program automatically unchecks the Qualifying Offer Method Transition Relief field and it will not be printed on the 2016 form. For 2015 this field was printed on 1094-C form, line 22.
ACA affordability standard percentage
The new affordability percentage for 2016 is 9.66%. Accessing the 2016 Control information record automatically sets this amount for the ACA affordability standard percentage field to this new percentage. If you are creating a new 2016 record, the same new percentage is used.
Federal poverty level
The new Federal poverty level for 2016 is $11,880. Accessing the 2016 Control information record automatically sets the Federal poverty level field to the new amount. If you are creating a new 2016 record this same amount is automatically used.
Note: The ACA Control information fields listed above are changed to the new amounts for 2016 when the first user accesses Master information > Control information. No other action is needed.
Enter employees ACA info
The new Series 1 codes (1J and 1K, 1095-C line 14) may be entered into the Enter employees ACA info program. The 1I code is not permitted for 2016.
Report 1095-C/1094-C info
When using an Essentials license, only the landscape printing of 1095-C is permitted for IRS copies.
Report 1095-C/1094-C info
This selection provides a new full time “FT” employee count total. The program counts all current year employee ACA records that have a “FT” designation for any month, including terminated employees. The final reporting of the ACA data can only be done after the year is completed. However, this function can be run at any time during the year. The new field is:
Get 1095-C total count
When selected, the program displays a window which provides the total number of 1095-C full time employees.
When the total count is selected no report is printed.
Employees by employee name (TIN Matching)
A TIN is a Taxpayer Identification Number. In this case, the TINs being tested are social security numbers.
This report has been enhanced to generate a TIN file and print a list of employees with the employee number, name and social security number. The new option is Generate TIN file for the Report type field.
The program prompts the user for a file name and save location. Defaults are provided for both.