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Filing 1095 forms is a crucial step for businesses and insurers to stay compliant with IRS regulations, but navigating the process isn’t always easy. With different forms serving different purposes, it’s important to know exactly which one applies to your business. Are you confident you’re filing the right form? 

Making the correct choice now can help you avoid costly mistakes and compliance issues later. As the deadline quickly approaches on March 31, now is the time to review your filing requirements and ensure you understand the difference between these forms before the deadline.

Purpose Of The Forms

Employers and insurers must file Forms 1095-B and 1095-C to comply with the Affordable Care Act (ACA) requirements. The ACA, also known as Obamacare, requires every citizen to be able to acquire a basic health coverage plan from their employers. These forms provide proof that businesses are offering the required Minimum Essential Coverage (MEC) to their employees. The IRS uses them to track compliance and ensure employees receive the necessary coverage. However, 1095-B and 1095-C serve different purposes and apply to certain types of employers.

What is Form 1095-B?

Form 1095-B applies to small employers with fewer than 50 employees who offer healthcare coverage. Although the form is filed by small businesses, it is also required to be filed for: 

• Employers that offer sponsored self-insured health coverage to non-employees who enroll in coverage 
• Small employers that aren’t subject to ESRP (employer-shared responsibility provisions) sponsoring self-insured group coverage plans
• Individual market coverage and insured coverage sponsored by employers

Form 1095-B Filing Requirements

 If multiple coverage plans are available, businesses must report just one plan per month. When filing this form, the following information is required:

• Recipient information
• Employer information
• Coverage provider information
• Covered Individuals under the plan

Additional form (Form 1094-B)

Along with your 1095-B form, you will need to submit a 1094-B form. The 1094-B is a transmittal form that supports the 1095-B by reporting the type of coverage provided and verifying the covered individuals and their dependents. When filing the 1094-B, you only need to include the employee’s details and the number of the 1095-B forms transmitted with it.

What is Form 1095-C?

Designed for larger businesses, Form 1095-C is required for Applicable Large Employers (ALEs) with at least more than 50 employees to report the healthcare benefits they offer. ALEs must file 1095-C forms for each full-time employee (or full-time equivalent), whether or not they are enrolled in health insurance coverage provided by the employer.

Form 1095-C Filing Requirements

This form requires that all employees, regardless of whether they have coverage or not, be included to prove that coverage is available through the company. For proper filing, businesses must provide:

• Recipient information
• Employer information
• Coverage provider information
• Employee required Contribution (If applicable)
• Individuals covered under the plan

Additional Form (1094-C)

With filing the 1095-C forms, it’s necessary to file the 1094-C form along with them as well, similar to the requirement for the 1095-B and 1094-B. To file this form you will need the employer’s information and the number of the 1095-C forms.

E-File Your Forms Easily With TaxBandits

Filing your 1095-B and 1095-C forms doesn’t have to be stressful or complicated. With TaxBandits, you can easily file your forms with confidence, knowing that we offer multiple convenient options to ensure accuracy and streamline the process. Whether you’re filing in bulk, submitting both federal and state returns, or looking for error-free submission, our platform makes it simple. 

ACA Corrections

We know that mistakes can happen, which is why we provide the ability to make ACA corrections if any information needs to be resubmitted. However, corrections are only available for forms originally filed with us. We allow corrections for 1095 forms, except for:

• 1094-B
• Bulk Filings

File Your ACA Forms Today

With TaxBandits, you can file your forms confidently and efficiently, knowing that if adjustments are necessary, the process will be straightforward and stress-free.

Avoid the rush—file your 1095-B and 1095-C forms with TaxBandits today!

Need a 1095 extension? File your 8809 Extension Form and get up to 30 days extra to submit your form.