Form 1095-C: Employer-Provided Health Insurance Offer and Coverage is an IRS tax form used to report information about an employee’s health coverage offered by an Applicable Large Employer (ALE). It’s also used to help determine a taxpayer’s eligibility for credits such as the Premium Tax Credit.
What is Form 1095-C?
Form 1095-C: Employer-Provided Health Insurance Offer and Coverage is an Internal Revenue Service (IRS) tax form that ALEs with 50 or more full-time employees must provide to their full-time employees every year. This form is used to report information about an employee’s health coverage and to help determine their eligibility for credits such as the premium tax credit. It includes details such as employee-required contributions, and for self-insured plans, also the names and birthdates of those covered. The employee does not fill out nor file this form, but employers should keep it with their records. This information is to be used come tax time; the form is available on the IRS website, as is info on other relevant forms.
IRS Form 1095-C – Who Needs to Fill It Out?
IRS Form 1095-C: Employer-Provided Health Insurance Offer and Coverage is a form filled in by Applicable Large Employers (ALEs) with 50 or more full-time employees that allows them to report healthcare coverage offered to their employees. This form helps taxpayers determine their eligibility for credits such as the premium tax credit. It is not filled by the taxpayer, nor is it filed with a tax return; rather, employers should keep the form with their records. Additionally, the employee may receive Form 1095-B, which provides proof of coverage from an insurer chosen by the employer. Form 1095-A also provides information about coverage, though it does not need to be returned to the government. Form 1095-C is available on the IRS website and more information about filing the form for 2021 is also available online.
Step-by-Step: Form 1095-C Instructions For Filling Out the Document
Filling out Form 1095-C is an important part of the 2021 tax filing process. This form is provided to employees of applicable large employers (ALEs) as a reference document with information about an employee’s health coverage offered by their employer. It is the ALE’s duty to fill out the form and not the taxpayer’s: the employee may just need to keep a copy in their records. This form is critical for determining whether the taxpayer is eligible for premium tax credits, as the information reported helps calculate exact amounts. Should taxpayers have specific questions or find any errors on the form, ALEs can be reached using the contact information provided in Part I. Lastly, for employers who have 50 or more full-time employees, Form 1095-C is also available on the IRS website. Taxpayers should review its instructions carefully and remember that it must be kept with records and not filed with their tax return.
Below, we present a table that will help you understand how to fill out Form 1095-C.
| Information Required for Form 1095-C | Details |
|---|---|
| Form Purpose | Reference document for employee health coverage |
| Form Filler | Applicable Large Employers (ALEs) |
| Employee’s Responsibility | Keep a copy for records |
| Use in Tax Credits | Determines eligibility for premium tax credits |
| Contact Information | Provided in Part I for ALE inquiries |
| Availability | Available on IRS website for employers with 50+ employees |
| Review Instructions | Taxpayers should review the instructions carefully |
| Filing with Tax Return | Must be kept with records, not filed with tax return |
Do You Need to File Form 1095-C Each Year?
Do You Need to File Form 1095-C: Employer-Provided Health Insurance Offer and Coverage Each Year? Not to worry – you don’t have to include it with your 2021 tax return or send it to the IRS, but you may use information from the form to help complete your tax return. The form should be provided by your employer if it has 50 or more full-time employees along with the necessary instructions. Note that the information required on the form will be completed and filled in by your employer. Keep it with your records to help determine your eligibility for the premium tax credit.
Download the official IRS Form 1095-C PDF
On the official IRS website, you will find a link to download Form 1095-C: Employer-Provided Health Insurance Offer and Coverage. However, to make it easier for you, we are providing the link in our article, which comes directly from the official irs.gov website! Click to download: Form 1095-C
Sources:
https://www.irs.gov/forms-pubs/about-form-1095-c
https://www.irs.gov/instructions/i109495c
