Congress has now passed and the President has signed comprehensive health care reform legislation. These health care reforms will mean significant changes for nonprofit organizations, their employees, and the people they serve.
IRS Update
The IRS has issued guidance to for the tax treatment of new accountable care organizations. The notice (Notice 2011-20), released March 31, also includes a request for public comment.
What Do Nonprofit Employers Need to Know?
Small Employer Credit: IS and its members advocated successfully for the application of new employer incentives to provide health insurance for employees to both nonprofit and for-profit employers. The IRS has released final guidance detailing how qualifying tax-exempt small employers will calculate and claim the credit. LEARN MORE.
- How do I determine how to qualify for and claim the credit?
- How do I calculate my small employer credit?
- What resources and guidance have the IRS provided?
The IRS is holding a free webinar February 2, 2011 to help small businesses and nonprofits learn more about the small employer health care credit. Click here to register.
What's Next?
Federal agencies are beginning the implementation process of this landmark legislation. Some of the law's provisions will take effect immediately, while others will be instituted over the next four years.
- Implementation timeline (PDF) - Key effective dates for health care reforms
- Department of Health and Human Services (HHS) guidance - Updated implementation and process resources for individuals and employers
- Department of Labor (DOL) guidance - Updated health reform regulatory information for all employers
Additional Resources:
- New Form 1099 reporting requirements - Congress is continuing to work to repeal the new reporting rules enacted as part of health care reform
- Special rules for nonprofit hospitals - As part of health care reform, new standards have been established for nonprofit hospitals to maintain their tax exempt status.
