Hot off the press! Two major decisions were made last week that will impact you as a human resource professional or business owner regarding both the Department of Labor Overtime Rule as well as the ACA Forms deadlines.
Department of Labor Overtime Rule:
Only 10 days before the implementation date, a federal judge in Texas has halted the Department of Labor’s (DOL's) newfederal overtime rule, which would have substantially increased the Fair Labor Standards Act’s (FLSA’s) salary threshold for exemption from overtime pay. (click here to learn more.)
Since it is likely that many of you have already made adjustments to salaries and exemption statutes, it is recommended that you keep those changes until there is a final decision made on the law, but this may free you up from making additional changes at this time. Take note that although the overtime rule will nottake effect as planned Dec. 1, it could still be implemented later down the road.
ACA Extended Deadlines for 1095-C Forms:
More good news is that on November 18, 2016, the IRS extended the 2017due date for providing 2016 health coverage information forms to individuals. Applicable large employers now have until March 2, 2017 to provide Forms 1095-B or 1095-C to individuals, which is a 30-day extension from the original due date of January 31.
The due dates for filing 2016 information returns with the IRS remain unchanged for 2017. The 2017 due dates are February 28 for paper filers and March 31 for electronic filers.
Due to these extensions, individuals may not receive Forms 1095-B or 1095-C by the time they are ready to file their 2016 individual income tax return. While information on these forms may assist in preparing a return, the forms are not required to file. Taxpayers can prepare and file their returns using other information about their health insurance and do not have to wait for Forms 1095-B or 1095-C to file.