Employers not offering group health to their workers, but who fund their employees with additional pay for the purpose and goal of being able to afford health insurance, can still be fined $100.00 – for each employee. That fine coming from the IRS. Robert Wood, a lawyer and tax expert, returns to the pages of Forbes (online, 7/2) telling of just what sort of gratitude employers can expect form the IRS — for such generosity towards their employees.
While the IRS had spared businesses until July 1, 2015 according to Wood “there is no more relief.” Even more so incredibly is this, according to Wood’s story, “According to the IRS, an employer arrangement that reimburses or pays for employee individual health premiums is considered to be a group health plan that is subject to the $100 per-employee per-day penalty.”
According to Wood’s, the IRS fine could wind up becoming widespread: “The National Federation of Independent Businesses says that 14 percent of small businesses that do not offer group insurance reimburse their workers.”
