Tax & Accounting Blog

New Affordable Care Act Features in Accounting CS

CS Professional Suite Accounting & Auditing Solutions December 29, 2014

This article was updated on February 11th, 2015 to reflect the recent finalization of IRS forms.

Accounting CS iconAffordable Care Act (ACA) changes will take effect on January 1, 2015, with mandated filing required in 2016 for the 2015 tax year. (Reporting of 2014 tax-year information is voluntary.)  

To assist you in tracking and reporting ACA information, we’ve enhanced Accounting CS with some terrific new features. 

  • The Average Hours Worksheet and Average Full-Time Employees Worksheet will include new variables that track employees with pay rates in categories such as Variable Hour, Full-Time, and Exempt. The variables will be tracked based on Employee status information (in the Personal tab of the Setup > Employees  screen) and will enable you to track a client’s status for ACA reporting purposes and to determine whether or not  a client should be characterized as an Applicable Large Employer (ALE) under the law. There will also be additional report type filters you can use to filter out seasonal employees. This will help you in situations where an employer’s workforce exceeds 50 full-time employees for 120 days or fewer during a calendar year, and the employees in excess of 50 who were employed during that period of no more than 120 days were seasonal employees (which means the employer would not be an applicable large employer).
  • We will also add Form 1095-C (Employer-Provided Health Insurance Offer and Coverage) and Form 1094-C (Transmittal of Employer-Provided Health Insurance Offer and Coverage Information Returns) for ALE reporting purposes. Employers with 50 or more full-time-equivalent (FTE) employees are required to send Form 1095-C to their employees and to the IRS. The form provides employees with information about the types of health coverage they were offered during the year and the cost of that coverage. 

The report tracking and Forms 1094-C and 1095-C will enable voluntary filing for the 2014 tax year. Forms 1094-C and 1095-C have been finalized by the IRS, and are now available in the application to print. To access the forms in Accounting CS, choose Actions > Edit Payroll Tax Forms and then select 1095-C from the drop-down list in the Form type field.