Companies should be on the lookout for Marketplace Notices that may indicate a potential tax liability for employers. Individuals that are currently employed but sign up for health coverage through the Marketplace and receive advanced premium subsidies will trigger a notification to the employer. Premium subsidies, otherwise known as the premium tax credit, are provided to an individual who is not provided affordable coverage through their employer. Alternatively, premium subsidies are not provided to employees of companies who do offer affordable coverage (i.e. meets minimum value). Employers who receive Marketplace notices have 90 days to appeal the decision that an employee was not provided affordable coverage. Overall, the intention of the notice is to provide an advanced communication to employers or employees of a potential tax liability.
Employers can find additional information pertaining to the notice by clicking here.