In the coming weeks, you may receive one or two Federal income tax forms — Form 1095-C and/or Form 1095-B. These forms include information about the health coverage offered to you by the University. It is not necessary to wait until you receive these forms to file your tax return.
Why are These Forms Important?
Under the federal Affordable Care Act (ACA), when you complete your 2016 tax return, you will be required to indicate whether you (and your eligible dependents) had qualifying medical coverage for all of 2016. The University will send you a tax form, Form 1095-C, which includes information about the health coverage offered to you by the University. In some instances, our insurance carriers will be sending you Form 1095-B. You may receive one or both of these forms. (See “Who Will Receive a Form 1095-C or 1095-B” below to determine which form you will receive.)
It is not necessary to wait until you receive these forms to file your tax return. While the information on the forms may be useful in preparing your tax return, the forms are not required. Similar to last year, you can prepare and file your return using other information about your health insurance. Also, if you are not considered a full-time employee under the ACA rules, you may not receive these forms, or you may only receive one form.
What information does Form 1095-C contain?
- Your name, Social Security number and address
- Your employer’s name, Employer Identification Number (EIN) and address
- Information about health coverage that the University offered you and your dependents during 2016 and that you were enrolled in during 2016.
What information does Form 1095-B contain?
- Your name, Social Security number and address, as well as your dependents’ names and Social Security numbers or date of birth
- Information about the health coverage you and your dependents, if applicable, were enrolled in during 2016.
Who will receive Form 1095-C or 1095-B?
The following individuals will receive Form 1095-C from the University:
- Employees eligible for health coverage under any of the following health plans offered by the University:
- Enhanced 80/20 Plan
- Traditional 70/30 Plan
- Consumer-Directed Health Plan
- High Deductible Health Plan
- UNC Graduate Medical Education Plan
- Former employees who were eligible and/or enrolled in University-sponsored health coverage during 2016, either as active employees and/or COBRA participants
- Other employees determined to be a full-time employee under the ACA rules
- Retirees under age 65 enrolled in the Enhanced 80/20 Plan, Traditional 70/30 Plan or the Consumer-Directed Health Plan
- Retirees 65 or older enrolled in the Traditional 70/30 Plan
- Retirees enrolled in the State Health Plan Medicare Advantage Plan will receive Form 1095-B from the Medicare Advantage Insurer (either Humana or United Health Care)
- Students enrolled in the UNC Student Health Insurance Plan will receive Form 1095-B from Blue Cross / Blue Shield of North Carolina
The following will receive Form 1095-C from the University and Form 1095-B from Blue Cross / Blue Shield of North Carolina:
- Postdoctoral fellows eligible for health coverage under the UNC Postdoc Medical Insurance Plan
When will I receive the forms?
The form(s) will be mailed to your home address as follows:
- Form 1095-C will be mailed in early February
- Form 1095-B will be mailed at the end of January
What do I need to do?
When you receive the form(s), save them with your other important tax records. You will not need to attach or file the forms with your Federal income tax return.
If you (and your eligible dependents) were enrolled in the health plan provided by the University for all of 2016, you can indicate on the appropriate line of the IRS Form 1040, 1040A or 1040EZ that you (and your eligible dependents) had qualifying medical coverage.
If you (or your eligible dependents) did not have health coverage for all of 2016, you may be assessed a tax penalty unless you qualify for an exemption. Consult your tax advisor for more information of penalties and/or exemptions.
If I cover my dependents under the health plan provided by the University, will they receive a separate Form 1095-B or 1095-C?
Generally, no. Coverage for both you and your eligible dependents will be included on the form(s) sent to you.
Note: If your eligible dependents file separate tax returns, they will need to provide information about their medical coverage when completing their tax returns. You can provide a copy of the form(s) to your eligible dependents; however, they do not need the form(s) to complete their individual tax returns. They can prepare and file their returns using other information about their health insurance.
To find out more information about the new tax forms, consult the IRS Questions and Answers about Health Care Information Forms for Individuals (Forms 1095-A, 1095-B and 1095-C) document and/or your personal tax consultant.