In a new Thomson Reuters survey of U.S. accounting firms, 24 percent of respondents said their business clients are not fully aware of their potential exposure to penalties that take effect in 2014 under the Patient Protection and Affordable Care Act (PPACA).
“The 20,000 pages of legislation outlines new obligations for employer-provided health plans,” said Jim Reeves, vice president, medium and large CPA firm markets, Thomson Reuters. “In our survey of CPAs, more than 70 percent said their clients are counting on their guidance on these issues. This creates a significant opportunity for firms that develop expertise to help clients unravel the complex legislation and implement the new requirements.”
The survey asked more than 130 U.S. accounting firms for the biggest challenges they and their clients are facing in implementing the health care legislation. The top three responses were:
1. Assessing the impact of employer-shared responsibility requirements (for instance, determining large-employer status, assessing affordability and minimum value of coverage, and estimating possible penalties).
2. Understanding nondiscrimination requirements for employer-provided health insurance plans.
3. Calculating the federal government's premium-assistance and cost-sharing reduction subsidies, to allow individuals to see the subsidy they would receive based on varying income levels, family size, etc.
The survey results are included in Thomson Reuters' report Timeline of 2013 – 2018 Tax Changes in Health Care Reform Legislation, which includes summaries of new tax provision interwoven with analysis.
Employers Adjust Health Benefit Strategies in Wake of Reform, SHRM Online Benefits, May 2013
SHRM Online Benefits page
SHRM Online Health Care Reform Resource Page