RILA: 178 employers and trade associations to endorse legislation aimed at providing employees and employers with more effective means for determining eligibility for Exchange tax credits

178 Organizations Urge Action To Provide Employees And Employers With Needed Clarity On Exchange Subsidies

Arlington, VA, 2015-7-16 — /EPR Retail News/ — In a letter sent today, a coalition of 178 employers and trade associations joined together to endorse legislation aimed at providing employees and employers with a more effective means for determining eligibility for Exchange tax credits under the Affordable Care Act (ACA). The letter was sent to the sponsors of H.R. 2712, the Commonsense Reporting and Verification Act of 2015, Representatives Diane Black (R-TN) and Mike Thompson (D-CA).

“On behalf of the undersigned businesses, national, state and local trade associations, and organizations representing millions of American workers and their families, and hundreds of thousands of job creators, we write in support of H.R. 2712, the Commonsense Reporting and Verification Act of 2015. We appreciate your leadership in introducing H.R. 2712 to help reduce confusion surrounding the Affordable Care Act’s (ACA) Exchange tax credit eligibility, and provide businesses and insurance carriers with regulatory relief under the law’s reporting requirements,” said the signers of the letter.

The letter was circulated by the E-Flex Coalition, which is led by the Retail Industry Leaders Association, American Staffing Association, Food Marketing Institute, and Aetna.

Under the ACA, employers and insurance carriers are required to gather numerous pieces of data on a monthly basis and report them annually to the Internal Revenue Service (IRS) and individuals. The information reported is intended to verify compliance with the individual and employer mandates, and administer advanced premium tax credits and cost sharing subsidies under the state and federal-facilitated insurance Exchanges.

The Commonsense Reporting and Verification Act of 2015 creates a front-end voluntary prospective reporting system to improve the accuracy of Exchange tax credit eligibility determinations. Under voluntary prospective reporting, data that would have been reported at the end of the year could now be reported at the beginning of the eligibility process, and help mitigate issues with inaccurate tax credit determinations. The legislation would also protect privacy by not requiring businesses and insurers to collect and report Social Security numbers for spouses and dependents, and authorizes electronic transmission of reporting data.

“H.R. 2712 is a first step in providing individuals, employers, insurers, states, and the federal government with more clarity about who may be eligible for premium tax credits, and potentially minimizing the prospects of individuals being subjected by the IRS to repayment of advanced premium tax credits or cost sharing subsidies in cases in which Exchanges made an incorrect eligibility determination,” added the signers of the letter.

The E-FLEX Coalition first raised the concept of voluntary prospective reporting to the Administration four years ago, and has been working since then to incorporate the system into the regulatory structure of these ACA requirements.

Full letter text and list of signers below.

The Employers for Flexibility in Health Care (E-Flex) is a coalition of leading trade associations and businesses in the retail, restaurant, supermarket, hospitality, construction, temporary staffing, and other service-related industries, as well as employer-sponsored plans insuring millions of American workers. Members of the E-Flex Coalition are dedicated to the common goal of creating solutions for both large and small employers and are working to help ensure that employer-sponsored coverage – the backbone of the U.S. health care system – remains a competitive and affordable option for employers and for employees whether full-time, part-time, temporary, or seasonal workers.

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July 14, 2015

The Honorable Diane Black (TN-06)               The Honorable Mike Thompson (CA-05)
U.S. House of Representatives                      U.S. House of Representatives
1131 Longworth House Office Building            231 Cannon House Office Building
Washington, D.C. 20515                                Washington, D.C. 20515

Dear Representatives Black and Thompson:

On behalf of the undersigned businesses, national, state and local trade associations, and organizations representing millions of American workers and their families, and hundreds of thousands of job creators, we write in support of H.R. 2712, the Commonsense Reporting and Verification Act of 2015. We appreciate your leadership in introducing H.R. 2712 to help reduce confusion surrounding the Affordable Care Act’s (ACA) Exchange tax credit eligibility, and provide businesses and insurance carriers with regulatory relief under the law’s reporting requirements.

Under the ACA’s reporting requirements (Code sections 6055 and 6056), employers and insurance carriers are required to gather numerous pieces of data on a monthly basis and report them annually to the Internal Revenue Service (IRS) and individuals. The information reported is intended to verify compliance with the individual and employer mandates, and administer advanced premium tax credits and cost sharing subsidies under the state and federal-facilitated insurance Exchanges. Unfortunately, the information currently required is unnecessarily complex for employers and individuals and must be reported to the IRS at the end of a tax year, not during the Exchange enrollment process when it could provide more clarity on which individuals are eligible for tax credits.

H.R. 2712 is a first step in providing individuals, employers, insurers, states, and the federal government with more clarity about who may be eligible for premium tax credits, and potentially minimizing the prospects of individuals being subjected by the IRS to repayment of advanced premium tax credits or cost sharing subsidies in cases in which Exchanges made an incorrect eligibility determination. The bill creates a voluntary prospective reporting system to make available important data during the Exchange enrollment process, rather than at the end of a tax year, and streamlines the reporting requirements for employers and insurers. H.R. 2712 also protects the privacy of individuals’ Social Security numbers, allows for electronic transmission of reporting information, and requires Exchanges to review the most recent tax filing for individuals who are automatically re-enrolling in coverage and adjust credits accordingly. These are commonsense changes that help individuals, employers and insurers.

Again, thank you for your leadership on this critical issue. We look forward to working with you and your colleagues in Congress in a bipartisan manner to enact H.R. 2712, the Commonsense Reporting and Verification Act of 2015, this year.
Sincerely,

7-Eleven, Inc.

Aetna

Albertsons Companies, Inc.

Aldin Associates

Allegis Group

America’s Health Insurance Plans

American Eagle Outfitters

American Hotel and Lodging Association

American Rental Association

American Staffing Association

American Supply Association

Associated Builders and Contractors, Inc.

Associated Equipment Distributors

Associated General Contractors of America

Auto Care Association

Automotive Parts and Services Association

AutoZone

Benefitfocus

Best Buy Co., Inc.

B2b Solutions, LLC

CarMax, Inc.

College and University Professional Association for Human Resources

Costco Wholesale

Council for Affordable Health Coverage

Flash Foods

Food Marketing Institute

GAP, Inc.

Holmes Oil

HR Policy Association

Humbolt Petroleum

Hy-Vee, Inc.

International Franchise Association

J.C. Penney Corporation, Inc.

Jo-Ann Fabric & Craft Stores

Kelly Services

Lowe’s Companies, Inc.

ManpowerGroup

National Association of Convenience Stores

National Association of Health Underwriters

National Association of Home Builders

National Association of Wholesaler-Distributors

National Business Group on Health

National Club Association

National Council of Chain Restaurants

National Federation of Independent Business

National Grocers Association

National Public Employer Labor Relations Association

National Restaurant Association

National Retail Federation

PepBoys

Petco Animal Supplies

PetSmart, Inc.

RandstadUS

Retail Industry Leaders Association

Savin Foods

Savin Burgers

Self-Insurance Institute of America

Society of American Florists

Society for Human Resource Management

Spinx Company

Staples, Inc.

U.S. Chamber of Commerce

Wallis Companies

Walmart

Wenzell’s Farm, LLC

Whole Foods Inc.

 

Alabama Restaurant & Hospitality Alliance

Alaska Hotel & Lodging Association

Arizona Lodging & Tourism Association

Arizona Retailers Association

Arkansas Hospitality Association

Automotive Aftermarket Association of the Carolinas and Tennessee

Automotive Aftermarket Association Southeast

California Hotel & Lodging Association

California, Nevada, Arizona Automotive Wholesalers Association

California Retailers Association

Chesapeake Automotive Business Association

Colorado Hotel & Lodging Association

Colorado Restaurant Association

Connecticut Lodging Association

Hotel Association of Washington, D.C.

Florida Restaurant & Lodging Association

Florida Retail Federation

Georgia Association of Convenience Stores

Georgia Hotel & Lodging Association

Georgia Restaurant Association

Georgia Retail Association

The Hawaii Lodging & Tourism Association

Idaho Lodging & Restaurant Association

Idaho Retailers Association

Illinois Hotel & Lodging Association

Indiana Restaurant & Lodging Association

Indiana Retail Council

Kentucky Restaurant Association

Louisiana Hotel & Lodging Association

Louisiana Restaurant Association

Louisiana Retailers Association

Maine Innkeepers Association

Maine Restaurant Association

Maryland Hotel & Lodging Association

Restaurant Association of Maryland

Maryland Retailers Association

Massachusetts Lodging Association

Massachusetts Restaurant Association

Retailers Association of Massachusetts

Michigan Lodging & Tourism Association

Michigan Restaurant Association

Michigan Retailers Association

Midwest Automotive Parts and Service Association

Minnesota Lodging Association

Minnesota Restaurant Association

Minnesota Retailers Association

Mississippi Hospitality & Restaurant Association

Missouri Restaurant Association

Missouri Retailers Association

Montana Lodging & Hospitality Association

Montana Restaurant Association

Nebraska Hotel & Motel Association

Nebraska Restaurant Association

Nebraska Retail Federation

Nevada Hotel & Lodging Association

Retail Association of Nevada

New Hampshire Lodging & Restaurant Association

New Hampshire Retailers Association

New Jersey Hotel & Lodging Association

New Jersey Restaurant & Hospitality Association

New Jersey Retail Merchants Association

New Mexico Restaurant Association

Hotel Association of New York City, Inc.

New York State Association of Service Stations and Repair Shops, Inc.

New York State Automotive Aftermarket Association

New York State Hospitality & Tourism Association

New York State Restaurant Association

Independent Garage Owners of North Carolina

North Carolina Restaurant & Lodging Association

North Carolina Retail Merchants Association

North Carolina Tire Dealers Association

North Dakota Petroleum Marketers Association

North Dakota Propane Gas Association

North Dakota Retail Association

Ohio Council of Retail Merchants

Ohio Hotel & Lodging Association

Ohio Restaurant Association

Oklahoma Hotel & Lodging Association

Oklahoma Restaurant Association

Oregon Restaurant & Lodging Association

Pennsylvania Association of Automotive Trades

Pennsylvania Collision Trade Guild

Pennsylvania Gasoline Retailers

Pennsylvania Restaurant & Lodging Association

Tire Dealers Association of Western Pennsylvania

Rhode Island Hospitality Association

South Carolina Restaurant & Lodging Association

South Carolina Retail Association

South Dakota Retailers Association

Southwest Car Wash Association

Tennessee Hospitality & Tourism Association

Texas Hotel & Lodging Association

Texas Independent Automotive Association

Texas Restaurant Association

Texas Retailers Association

Texas Tire Dealers Association

Utah Food Industry Association

Utah Hotel & Lodging Association

Utah Retail Merchants Association

Vermont Chamber of Commerce

Virginia Hospitality & Travel Association

Virginia Retail Federation

Virginia Retail Merchants Association

Washington Lodging Association

Washington Retail Association

West Virginia Hospitality & Travel Association

West Virginia Retailers Association

Wisconsin Hotel & Lodging Association

Wisconsin Restaurant Association

Wisconsin Retail Merchants Association

Alliance of Wisconsin Retailers

Wyoming Lodging & Restaurant Association​

Brian Dodge
Executive Vice President, Communications and Strategic Initiatives
Phone: 703-600-2017
Email: brian.dodge@rila.org