Insurance companies use IRS Form 1094-B as a cover sheet for reporting enrollees’ compliance with the Affordable Care Act’s minimum essential coverage requirements. The 1094-B is a simple and short form that is no more than one page long.

The Internal Revenue Service (IRS) requires filing Form 1094-B and Form 1095-B. IRS Forms 1094-B and 1095-B disclose health coverage information. We have a detailed description of what is Form 1094 B if you’re interested in learning more.

Do I Need Form 1094-B With Form 1095-B?

These two forms detail the number of people who obtained the legally required health insurance coverage throughout the year. IRS uses the reports to enforce the individual mandate and determine those eligible for premium credits on the exchange marketplace. These forms also verify that the person and their dependents meet the provider’s minimum requirements for health insurance coverage.

Each individual who receives minimal essential coverage must file a separate Form 1095-B with the IRS. However, these forms can be combined into a single transmittal Form 1094-B. The “responsible individual” will also obtain Form 1095-B.

Who Should File Form 1094-B?

Filing an information return is mandatory for anyone who provides an individual with Minimal Essential Coverage (MEC) during a calendar year. You must submit Form 1095-B using Form 1094-B. People receiving coverage will not receive a copy of Form 1094-B; only the IRS will obtain a copy.

The insurer files the report on behalf of all fully-covered health plans. Employers with at least 50 employees may be required to submit Forms 1094-C and 1095-C. Employers with fewer than 50 workers who provide their health insurance coverage will use IRS Form 1095-B and transmittal Form 1094-B to provide their data to the Internal Revenue Service. Forms 1095-C & 1094-C are used by large employers to submit this information. Other reporting arrangements are allowed, such as for controlled group employers.

What Is the Due Date for Form 1094-B?

Providers should file Form 1094-B with Form 1095-B to the IRS starting with the 2023 tax year. The IRS has proposed a 30-day grace period for providing copies to employees. The grace period will remain the same in subsequent years. 

The IRS must receive the forms by February 28th (for paper filing) or March 31st (for electronic filing) of the 2023 coverage year. The deadline for either paper or electronic filing remains the same. IRS will move the due date to the next working day if it falls on a weekend or legal holiday.

An extension time to file Forms 1094 and 1095 can be requested using Form 8809. To request an additional 30-day extension, submit a 2nd Form 8809 before the original one expires. You should know that this extension period solely affects the Internal Revenue Service forms 1094 and 1095. It doesn’t extend employee statement deadlines.

What Are the Penalties for Failing to File Form 1094-B?

Penalties may apply to providers who don’t comply with the filing requirements. Failure to file required information returns carries a maximum $3 million fine, with a per-return penalty of $250. Special rules must apply that raise the overall penalties if filing obligations are deliberately disregarded.

Jane