Understanding the complexities of changing tax regulations takes a chunk of time that many hoteliers and business owners need to devote to their company’s operations. Here’s the rundown on what to expect in 2017, and options to help hoteliers sort through the clutter tax season creates.
Last year, the IRS provided penalty relief to employers that made good-faith efforts to comply with the Affordable Care Act’s information reporting requirements. An extension was also granted until June 30, 2016, almost doubling the time for employers to electronically file their tax reports. On Nov. 18, the IRS announced that both the good-faith standing and a 30-day extension for providing health information forms to employees are back for the 2017 tax filing season.
Although the IRS granted a small extension for employers to furnish information forms, the due dates to file returns this year are not extended. Employers still need to submit their paper or electronic forms by their original deadlines of Feb. 28 and March 31, respectively. Businesses need to be prepared to accurately file on those dates, adding pressure on employers.
To help ease the burden and assist with correctly filing tax forms, employers can turn to software solutions, suggests Arthur Tacchino, principal and chief innovation officer of SyncStream, an ACA reporting and compliance company. “This year, there’s no indication that there’s going to be an extension like that again, so one of the biggest practical changes is just in terms of the amount of time businesspeople have to get this done.”
According to Tacchino, compliance plans should already be implemented and documented by businesses with submission dates rapidly approaching. Reports and plans begin with tracking employee hours to determine who has full-time status under ACA standards. Tacchino suggests getting educated on new filing dates sooner rather than later to avoid feeling ambushed at the last minute.
Navigating the ACA’s complex reporting requirements is no easy undertaking for employers. ACA reporting and compliance solutions can help business owners avoid costly penalties and take critical steps to proper compliance, Tacchino says. “The sooner they can get educated and understand what they’re reporting on, the better.”
