Form 1095-C (2020)

What Is a 1095 C Form 2020

The 2020 Form 1095 C is a tax document employers provide to employees to report on health insurance coverage offered and provided under employer-sponsored health plans. Individuals must understand what coverage they were eligible for and the coverage they opted for throughout the year. This form is part of the Employer Shared Responsibility Provisions under the Affordable Care Act.

When to Use IRS 1095 C Form 2020

Employers must utilize the IRS 1095 C Form 2020 in several key situations:

• Organizations classified as large employers (typically those with 50 or more full-time employees) must send out this form.
• For any employee who was full-time for one or more months of the calendar year and was offered health coverage.
• Employers of any size that offer self-insured plans must issue a Form 1095-C to employees, covering them and their families.

How To Fill Out Form 1095 C 2020

Filling out the Form 1095 C 2020 is a meticulous process that involves several crucial steps:

Employee Information: 

Complete Part I by providing detailed employee information such as their name, social security number, and the employer's contact information.

Offer of Coverage (Part II): 

In this section, the employer will indicate the type of insurance coverage offered to the employee for each month of the year. This involves marking the appropriate codes for the offer of coverage and the employee's share of the lowest cost monthly premium for self-only minimum value coverage.

Covered Individuals (Part III): 

For employers with self-insured plans, this section requires listing all individuals (including dependents) covered under the plan and their months of coverage.

Employer Information (Part III): 

The employer's name, EIN, and address must be accurately filled in this section to ensure proper identification.

When to File 2020 Form 1095 C Deadline

Employers must furnish a copy of Form 1095-C to each employee by March 2, 2021. This date allows employees to receive their tax forms in time to file their income taxes.

For submitting to the IRS, the deadline was February 28, 2021, for paper filings and March 31, 2021, for those filing electronically. Employers need to adhere to these deadlines to avoid penalties.

This document is a comprehensive guide to understanding, using, and submitting the 2020 Form 1095 C. Both employers and employees should familiarize themselves with the form's requirements to ensure compliance with healthcare reporting obligations.