W-2 Reporting Lays Groundwork for Cadillac Tax
Monday, August 16th, 2010Health Reform is adding reporting requirements for employers on Form W-2s with Section 9002 of the PPACA. Beginning in 2011, employers will be required to include the aggregate cost of employer-sponsored health insurance coverage on every employee’s W-2 form. The cost will not be included in the employee’s taxable income. Rather, the intent of the W-2 reporting is to track benefit values for the 40% excise tax on Cadillac plans beginning in 2018.