Employee Benefits-IRS Revises The Rules For Reporting Group Health Care Costs On Form W-2

The Internal Revenue Service (“IRS”) has issued Notice 2012-9. This notice revises and restates the rules for reporting the cost of group health care plan coverage on Form W-2. These rules first apply to the 2012 Form W-2s (those which report information for the 2012 calendar year and are generally issued to employees in January, 2013).

The reporting requirement does not apply to an employer which issued under 250 Form W-2s for the previous calendar year (counting those issued by a section 3504 agent). It applies to everyone else (with very limited exception). All affected employers should make sure that their accounting systems are tracking the health care costs that must be reported, and become familiar with the reporting requirement. I have an article on the reporting requirement. If you would like a copy, please call me (516-307-1550) or contact me using the contact feature on the right-hand side of the blog.