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Thursday, January 10, 2013

IRS Warns Employers: Do Not Try to Avoid ObamaCare Insurance Mandate

By Matt Cover - January 10, 2013

The Internal Revenue Service warned employers in a new regulatory proposal not to come up with clever schemes to avoid Obamacare’s employer health insurance mandate.   The IRS said it would soon issue “anti-abuse rules” to discourage employers from taking advantage of any regulatory loopholes. “The Treasury Department and the IRS are aware of various structures being considered under which employers might use temporary staffing agencies (or other staffing agencies)… to evade application of section 4980H [the employer insurance mandate],” the IRS said in a proposed regulatory announcement issued December 28. 

The IRS said it would issue a so-called “anti-abuse rule” in an attempt to prevent employers from using temp agencies to circumvent the mandate, essentially writing into law that even though an employer hires temporary workers and therefore is not technically under the mandate’s jurisdiction, the IRS would fine them anyway for not providing health insurance....To Read More.....

1 comment:

  1. One Hundred Eleventh Congress (online)
    of the
    United States of America
    AT THE SECOND SESSION
    Begun and held at the City of Washington on Tuesday,
    the fifth day of January, two thousand and ten
    An Act
    Entitled The Patient Protection and Affordable Care Act.
    Public law 111-148
    SEC. 1555 @42 U.S.C. 18115. FREEDOM NOT TO PARTICIPATE IN FEDERAL
    HEALTH INSURANCE PROGRAMS.
    No individual, company, business, nonprofit entity, or health
    insurance issuer offering group or individual health insurance coverage
    shall be required to participate in any Federal health insurance
    program created under this Act (or any amendments made
    by this Act), or in any Federal health insurance program expanded
    by this Act (or any such amendments), and there shall be no
    penalty or fine imposed upon any such issuer for choosing not
    to participate in such programs.

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