[MyOEBB] W2 Reporting of Dental and Vision

[MyOEBB system updates]

Hello,

 

OEBB has received a few questions over the last week about W2 reporting
of dental and vision benefits due to the Affordable Care Act and the
Internal Revenue Service.  The Affordable Care Act requires employers to
report the aggregate cost of employer-sponsored health coverage on
employees' W2 forms.  The Internal Revenue Service has released Notice
2011-28 <http://www.irs.gov/irb/2011-16_IRB/ar08.html> , which provides
interim guidance on how employers report this information on the Form
W2.

 

Although OEBB can't give recommendations and we advise you to consult
with your tax consultants we can offer this simple test:

1.       Does the member select dental and/or vision separately from
medical when they enroll?

2.       Does the member pay a separate premium for dental and/or
vision?  Or does the entity represent the premiums for each benefit as
separate?

If the answer to #1 and #2 are yes, dental and/or vision are separate
and don't need to be reported on the W2.  If one answer is yes and one
answer is no, then the benefit would need to be reported on the W2.
Again, please check with your tax consultant for specifics concerning
your entity and employees.

 

Thanks,

Linda Tullis

Benefits Manager

Oregon Educators Benefit Board

1225 Ferry Street SE

Salem, OR 97301

Office:  (503) 378-3329

Fax:  (503) 378-5832

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