||Patient-Centered Outcomes Research Institute (PCORI)|
|Expense Deduction Optimization||Patient Protections and Provisions|
|Wage Payment and Tax Reporting Services
|W-2 Reporting Requirement|
|Does the adult child need to be covered by my medical insurance in order for me to pay and deduct the medical expense on my HRA?
||Any out-of-pocket expenses associated with your dependents can be taken as a tax deduction on your HRA regardless of whose health insurance plan they’re on.|
|Does the adult child have to be living in our home to qualify for a deduction?
Can they be married and still qualify?
|The adult child qualifies for a deduction even if living away from home and even if married. (Your adult child qualifies regardless of residence or marital status.)|
|Is this beneficial to a child with no medical insurance?
||It would be beneficial for the parent of the child, as any out-of-pocket medical expenses could be taken as a deduction on the parents’ business tax form.|
|Why should a Client use the Adult Child Tracker?
||The Adult Child Tracker is a free service provided to an AgriPlanNOW and BizPlanNOW Client. This service tracks when an adult child becomes ineligible for medical benefits through their parents, and takes the burden of doing so from the Client. The Client is notified when that child no longer qualifies as a dependent under his/her Plan.|
My daughter was taken off my insurance when she turned 19. I can't put her back on until my Plan year starts again.
Send the form in now. It's no problem to collect that information and get it into the system early, while you're thinking of it. Doing so helps ensure that we don't lose track of your dependents who still qualify to be on your Plan. Meanwhile, you can still deduct any out-of-pocket expenses your daughter incurs on your AgriPlanNOW or BizPlanNOW.
|When do the changes go into effect regarding Over-the-Counter (OTC) medications not being deductible?
||This legislation went into effect on January 1, 2011.|
|Is there a list of eligible expenses that TASC could provide?||TASC has generated a list of items that are considered eligible expenses with AgriPlanNOW and BizPlanNOW (www.tascmicrobusinessnews.com). However, this is NOT a comprehensive list. For a current list of allowable items/expenses, visit the IRS.gov website and view Publication 502 Medical and Dental Expenses (pdf). If still in doubt, enter the expense on your Transmittal. We will adjudicate it at the end of the year when you submit your list of expenses to TASC.|
|How do I obtain an Over-the-Counter (OTC) Prescription Order Form?
||Submit an electronic service request by clicking on the Contact Us tab after you've logged into MyTASC or call 1-800-422-4661 to obtain a copy of the OTC Prescription Order Form.|
|Do we need to submit the Over-the-Counter (OTC) Prescription Order Form to TASC?
||No. Obtain the form with signature from your doctor. Retain your OTC Prescription Order Form in your own files.|
|What do I do with the Over-the-Counter (OTC) Prescription Order Form once the doctor has signed it?
||File the form away with the rest of your AgriPlanNOW or BizPlanNOW documentation. Do NOT send it to TASC.|
|Will one Over-the-Counter (OTC) Prescription Order Form suffice for all medical expenses?
||Use one form for each medical Provider. You may list your own expenses as well as any of your dependents’ expenses on that same form. Update that form each year in your records.|
With regard to the Over-the-Counter (OTC) Prescription Order Form, does the pharmacy keep these on file? Do we keep these forms at home and bring them to the pharmacy?
|A pharmacy will not accept an OTC Prescription Order Form. They will only accept prescriptions written on a doctor’s prescription pad. If an expense required the OTC Prescription Order Form, you/employee/spouse must pay out-of-pocket (the TASC Card will not be accepted), you must reimburse your employee, and you should retain the OTC Prescription Order Form for your records.|
|How does the TASC Card work?||
Complete a TASC Card Enrollment form. A Participant can use the card for any eligible medical expense. The card differentiates between expenses that are eligible and those that are not. When purchasing an eligible item, the card is swiped; TASC fronts the money (up to $1,000) and pays the merchant. Within 5 business days, you will receive an email notifying you that funds will be taken from your business checking account for that expense. The transaction will occur shortly thereafter. The TASC Card is not a credit card; it is a DEBIT card
. Benefits of using the card include...
|Is the TASC Card a credit card?||No. The TASC Card is a debit card. An Automatic Clearing House (ACH) transaction occurs within 5 business days of the point of sale. TASC draws funds from the Client’s business checking account after notifying him/her via email of the transaction.|
|How much does the TASC Card cost?||
The TASC Card is free with your Plan. There is no charge tied to it. Dependent cards are also available for a spouse or child.
|Can I obtain a TASC Card for my spouse or children?||Yes. To obtain additional cards, submit a Dependent Card Enrollment Form. Submit an electronic service request by clicking on the Contact Us tab in MyTASC or call 1-800-422-4661 to obtain the form.|
|Is the TASC Card the same as my BizPlanNOW or AgriPlanNOW Benefits Card?
||Yes, the card is the same. Both cards function exactly the same way. We have simply renamed the Benefits Card.|
|The TASC Card has a $1,000 limit, but many times we have expenses that exceed that amount. How do we pay for those expenses?
If you foresee a situation where you will require more than $1,000 for a medical expense, simply call our toll free number 1-800-422-4661, and we will load your card with additional funds to cover the medical costs. The funds must be added to the card before using the card to pay the expense.
|If I don’t have the TASC Card, how do I know what I can deduct?
||When in doubt, put it on the Transmittal. If it is not eligible, TASC will catch it on our end.|
|Why is there a dollar limit on the TASC Card?
||The dollar amount limits are necessary because the funds are our liability up front. TASC fronts the money to the merchant initially. We then deduct the funds from your business checking account to recover our outlay.|
|Will we be able to use the TASC Card to pay for Over-the-Counter items (OTC) after our Prescription Order Form is in place?
||No. IRS rules prohibit using a debit card for any ineligible expenses. You must purchase all ineligible items as out-of-pocket expenses and be reimbursed with funds from the business account.|
|I have a TASC Card. I buy several items at my local pharmacy. I scan the TASC Card first, and then pay the balance with other funds. How do I know which items BizPlanNOW covered out of the total?
||Obtain a receipt from the merchant. Also, those expenses that were purchased using the TASC Card are automatically put on your Transmittal for you. When you receive your paper transmittal at the end of the Plan year, those expenses will be pre-filled on that form. They are also immediately pre-filled on the online Transmittal.|
|Does the TASC Card reject the entire transaction if there is an ineligible expense?
||No. The TASC Card will work for the eligible expenses and will pay for those. Any ineligible items that remain must be covered with another form of payment.|
|From which business account does TASC pull the funds?||TASC will pull funds from the business account that you so designate. To make the designation you must provide us with the business account rounting and account numbers. Make sure to designate a business account and not a personal account.|
|I have not been transferring funds from my business account to the personal account. Am I in violation of the program?
||You must do one of two things to remain in compliance with a Section 105 HRA Plan: (1) use the TASC Card to pay for expenses, or (2) use a personal account to pay for expenses (i.e., doctor’s office visit, co-pay, or prescription) and reimburse yourself/employee/spouse from the business account. This further establishes the employer/employee relationship, even if you employ yourself as a corporation.|
|Do herbal medications qualify as an eligible expense?
||Herbal medications require a prescription or Over-the-Counter (OTC) Prescription Order Form in order to qualify as an eligible expense.|
|Are vitamins/supplements considered an eligible expense?
||Vitamins and supplements require a prescription or Over-the-Counter (OTC) Prescription Order Form to qualify as an eligible expense.|
|Is a prescription needed for massages?
||Massages require a prescription or Over-the-Counter (OTC) Prescription Order Form to qualify as an eligible expense. There must be a documented medical reason for needing the massage.|
|Are fitness memberships an eligible expense?
||Fitness memberships require a doctor’s note or Over-the-Counter (OTC) Prescription Order Form to qualify as an eligible expense. There must be a documented medical reason for needing the membership.|
|Is there a way to complete the Transmittal Form at the end of the year such that it doesn’t become a burden?
There are two great ways to ease that burden: Use the TASC Card to pay for all your medical out-of-pocket expenses. Transactions from using the TASC Card will be pre-filled on the year end Transmittal for you! Otherwise, you can enter expenses as you go throughout the year using our online Transmittal.
|Does TASC send the ERISA notices in the mail for the Client to keep on file?
||TASC provides the appropriate notices for compliance with ERISA and the Patient Protection and Affordable Care Act (PPACA) provisions for Clients with multiple employees. Depending on your situation, only one notice might require action; it relates to Medicare Part D.|
|Exactly what kinds of notices must be sent to employees?
There are 10 notices required by ERISA that may or may not need to be distributed to employees. TASC provides Clients clear direction on what to do with each notice, when said notice is pertinent to your specific situation. TASC can send AgriPlanNOW and BizPlanNOW Clients a feature pack mailing which includes an explanation of each of the ten notices and what actions are required. To request a packet, submit an electronic service request by clicking on the Contact Us tab in MyTASC or call TASC at 1-800-422-4661.
|Is there a template for the notices? Is there a distinction between grandfathered and non-grandfathered Plans?
||TASC will clarify which notices the Client is expected to file or act upon. We will send AgriPlanNOW and BizPlanNOW Clients the actual notices and provide specific direction regarding what to do.|
|Do AgriPlanNOW and BizPlanNOW recommend health insurance providers by state for small businesses?
TASC does not recommend specific health insurance providers. Meanwhile, www.healthcare.gov is a website that was developed as a result of changes enacted by the Affordable Care Act. Individuals and small businesses can access this internet portal to obtain information about the insurance coverage options that may be available to them in their state.
|Who qualifies for the free Wage Payment & Tax Reporting Service?
Wage Payment & Tax Reporting is included with the price of your Plan for Employers with: i) a Form 940, 943, 944, 941 quarterly or annual tax filing requirement, ii) one family-member employee (or additional family member employees if they are under age 18) that has a quarterly payroll frequency, iii) employee taxable wages that do not exceed $6,000 annually, iv) a quarterly payroll frequency.
An employer does not qualify for the free Wage Payment & Tax Reporting service if they reside in the states of IN, OH, NJ, NY, PA, CA.
|How does the Wage Payment & Tax Reporting Service work?||When you enroll in our Wage Payment & Tax Reporting service, gross wages will be automatically deducted (Automated Clearing House) from the business bank account and wages will be deposited in the employee’s bank account on a quarterly basis. Annual forms reporting, employee wage payment, and FICA/Federal Tax Remittance are included in this service. The service includes secure online access to your payroll reports, quarterly tax forms and employee checks stubs in PDF format. Access your highly-secured and protected payroll information anytime from anywhere!|
|What if I do not qualify for the free payroll service but still have payroll needs?||
If you have any of the payroll needs outlined below you do not qualify for the free Wage Payment & Tax Reporting service. TASC can still fulfill these payroll needs for you through its PayPath product. Call for a price quote.
* Employer resides in IN, OH, NJ, NY, PA, CA
|If we enroll in the Wage Payment option, will TASC take care of depositing the tax withheld?
||Yes, our Wage Payment & Tax Reporting Service will pay wages, which may or may not incur additional costs, depending on your needs. Call our toll free Customer Care line for a quote at 1-800-422-4661.|
|Is the Wage Payment & Tax Reporting service a “full” service? Does it include making payroll deductions (including state) and reporting and submitting funds to appropriate government agencies?
||Our Wage Payment & Tax Reporting Service has two options of service available. In order for TASC to remit the state tax portion of payroll, the Client may be required to pay an additional fee depending on the state in which they live. Please call TASC at 1-800-422-4661 for a quote.|
|Who should participate in the Wage Payment & Tax Reporting Service?||
TASC’s Wage Payment & Tax Reporting Service was developed to assist AgriPlanNOW and BizPlanNOW Clients with compliance. It is a very basic payroll service that is best suited for customers who are spousal employees on a quarterly payroll frequency. When in doubt, ask your tax professional or TASC Provider whether or not TASC's Wage Payment & Reporting Service is best suited for your situation.
|What is the Patient-Centered Outcomes Research Institute?||Established by PPACA, the Patient-Centered Outcomes Research Institute (PCORI) is charged with examining the relative health outcomes, clinical effectiveness, and appropriateness of different medical treatments by evaluating existing studies and conducting its own. The institute will be funded in part by employer-paid fees.|
|What does this mean for AgriPlanNOW and BizPlanNOW Clients?||
A fee will be collected from you for anyone who has a Plan where the Plan year ends between 2012-2019.
The fee is equal to the average number of Plan participants x $1. For most Clients, this fee total will be $1.
The PCORI fee will increase to the average number of participants x $2 for Plan year ending in 2013.
TASC is committed to keeping your Plan in compliance. To help ensure compliance, TASC mailed its AgriPlanNOW and BizPlanNOW Clients pre-filled IRS Tax Form 720 and instructions.
|What does this mean for AgriPlanNOW and BizPlanNOW Clients?||
What will I need to do? 1) Watch your mail for a pre-filled Form 720 in June. 2) Carefully review completed fields, including EIN number for accuracy, 3) write a check for amount due, and mail to the IRS BY JULY 31st each year per instruction from TASC.
|What is the W-2 Reporting Requirement?||According to the Patient Protection & Affordable Care Act (PPACA), employers are required to annually report the cost of employer-provided healthcare coverage on the Form W-2. This is a COBRA-like calculation.|
|Does the W-2 Reporting Requirement apply to AgriPlanNOW and BizPlanNOW Clients?
No, not at this time. The most recent guidance, in the form of Notice 2011-8, provides transition relief for smaller employers. For the purpose of this IRS ruling, small employers are defined as those filing fewer than 250 W-2 forms per year.
Small employers are not required to report the cost of employer-provided healthcare coverage on W-2 forms. Employers filing more than 250 W-2s are required to comply with this PPACA regulation.