Section 6056 has set in motion a CAA reporting requirements. This has included penalties per form if completed in error, instead of per error. This demonstrates how important it is that medical practices sign up with a high quality ACA reporting service.However, this also means gaining an understanding of which company will best fit your needs. Below are five key features that these services should have if they are to be compliant with the deadlines set by the IRS.
ACA Reporting Service Features
- They have algorithms in place to check for errors. Between lines 14 and 16 found on form 1095-c, there are 18 potential monthly conflicts. This is why it is so important to find a service that has the right kind of technology to identify these conflicts. The solution should have built-in intelligent algorithms that will look for invalid codes in these lines and it should also be able to identify data errors so that they can be corrected.
- They should be able to e-file with the IRS. They should proudly display their approval, which means they passed the ATS (Assurance Testing System) requirements that proves they can electronically complete employment tax returns. It also means that the data they provide is in a format that the IRS is able to process. It also means that forms will be completed much quicker thereby helping you to avoid fines.
- They are a reputable business. We are often blindsighted by low prices and are tempted to simply go for the cheapest service. The cheapest price, however, often does not mean that you have found a great deal. It is far more important that you find a business that is trustworthy and stable. There are some important trust signals that you can identify, including security, reputation, and experience.
- They are easy to use. It is very difficult to be fully compliant with the ACA so it is vital that you are reporting solution removes some of this complexity, thereby saving you both headaches and time. A good external provider will create a workflow or walkthrough for you to ensure all your questions are answered. You should feel completely confident when you finally submit your 1094-c and 1095-c forms.
- They are fully up to date with current regulations. This is of critical importance and shows that the business always remains up to date with the Affordable care Act regulations, which change on the nearly daily basis. If their system is not able to evolve together with a ACA regulations, then you also do not have any guarantee that you will provide the correct reports. Remember, providing incorrect data can lead to significant fines so you must be sure that your provider is always fully up-to-date.
With these five pointers, you should be able to at least identify whether a business is good or not. From that point, you should request a live demo so you can see what the program is all about. Take the time to do your research so that you feel confident that the solution you eventually settle on is the right one for your business.