Vol. XIV, Issue 25
Sections 6055 and 6056 Reporting
The General Board has developed guidelines to help annual conferences, local churches and other United Methodist Church (UMC) employers comply with various reporting requirements under the Affordable Care Act (ACA, also called federal health care reform) and other Internal Revenue Service (IRS) guidance. These documents are available on the General Board’s health care reform web page.
Section 6055 Reporting—Minimal Essential Coverage: IRS Forms 1095-B and 1094-B
Section 6055 reporting focuses on the “individual mandate” that requires most U.S. citizens and legal resident aliens to maintain health coverage or pay a penalty.
Section 6056 Reporting—Employer-Provided Health Insurance: IRS Forms 1095-C and 1094-C
Section 6056 reporting focuses on the “employer mandate” that requires applicable large employers (i.e., those with 50 or more full-time and full-time equivalent employees) to offer affordable health coverage or pay a penalty. Section 6056 reporting does not apply to smaller employers.
Please note: The Employer Shared Responsibility Toolkit on the health care reform web page provides detailed information to help annual conferences, churches and other UMC employers determine whether they are “applicable large employers” under ACA guidelines.
W-2 Reporting for Local Churches and Other Employers
Church treasurers and other payroll administrators must report health savings account (HSA) and dependent care flexible spending account (dependent care FSA) contributions on IRS W-2 forms provided to employees. IRS W-2 Reporting Responsibilities for Employers is aimed at HealthFlex plan sponsors, but the guidelines may also be useful for local churches and other UMC employers outside of HealthFlex.