THE IRS AND THE TREASURY DEPARTMENT HAVE ISSUED FINAL REGULATIONS ON THE FEE ON CERTAIN ISSUERS AND PLAN SPONSORS

The IRS and Department of Treasury have issued final regulations on the fee imposed by the Patient Protection and Affordable Care Act on issuers of specified health insurance policies and plan sponsors of applicable self-insured health plans to fund the Patient-Centered Outcomes Research Trust Fund.

The final regulations provide guidance on the policies and plans that are subject to the fee.

The final regulations also provide guidance on the requirements for
calculating, reporting, and paying the fee.

Issuers and plan sponsors must file Form 720, Quarterly Federal Excise Tax Return, once a year on July 31 of the calendar year following the last day of the policy year or plan year to report and pay the fee.

The fee applies for policy and plan years ending on or after October 1,
2012, and before October 1, 2019.