Reporting in QuickBooks Employer-Sponsored Health Coverage Cost for Tax Year 2012.
If you are currently using an Intuit QuickBooks Payroll solution – including Basic Payroll, Standard Payroll, Enhanced Payroll, or Assisted Payroll – read on to find out more about reporting employer-sponsored health coverage cost for tax year 2012.
A new tax tracking type, Health Coverage Cost, was released in Payroll Update 21201 on 12/15/2011. This will provide QuickBooks Payroll subscribers a way to track the cost of coverage to be reported on employees’ 2012 Forms W-2 in box 12, code DD. The Intuit Payroll team has created a step-by-step guide to help you set up a payroll item for tracking the cost for your employees. Click here for the Health Coverage Reporting User Guide for QuickBooks.
Not all employers will be subject to the new reporting requirement for calendar year 2012. In April 2011, the IRS published Notice 2011-28 providing interim guidance on informational reporting to employees of the cost of their employer-sponsored group health plan coverage. On January 3, 2012, the IRS published Notice 2012-9 that restates and amends the guidance in Notice 2011-28. For the latest interim guidance, refer to Notice 2012-9.
- Small employers: Employers who file fewer than 250 Forms W-2 for the 2011 calendar year will not be subject to the health coverage reporting requirement on 2012 Forms W-2.
- Large employers: Employers who file 250 or more Forms W-2 for the 2011 calendar year will be subject to the reporting requirement on 2012 Forms W-2.
We can enable QuckBooks to track this properly. It can be tricky especially mid-year to make a conversion of this type, so please contact us for this service.