On February 21, 2025, the IRS issued Notice 2025-15, which provides guidance regarding the alternative manner of furnishing certain health insurance coverage statements to individuals under I.R.C. sections 6055(c)(3) and 6056(c)(3). President Biden signed the Paperwork Burden Reduction Act (H.R. 3797) in December 2024, eliminating the requirement to automatically furnish Forms 1095-B and 1095-C under the Affordable Care Act provided that adequate notice is provided. As amended, the law now requires the forms to be provided only upon request if the notice requirement is satisfied.
Although the guidance in Notice 2025-15 is effective for statements required by section 6055 or section 6056 with respect to returns for calendar years after 2023, many filers may have already furnished Forms 1095 for 2024, so the notice’s full effect may not be realized until next year, when it will likely ease compliance burdens for employers providing insurance to covered employees.
Sections 6055 and 6056 and the Alternative Manner of Furnishing Statements
Section 6055 requires any person providing minimum essential coverage to an individual during the calendar year to file annual information returns with the IRS. Using Form 1095-B, persons providing coverage must report information identifying each covered individual and each individual’s months of coverage. Section 6055 also requires persons providing essential minimum coverage to provide each responsible individual with a statement containing the same information filed with the IRS on or before January 31 of the year following the calendar year for which the return was required.
Treasury Regulation § 1.6055-1(g)(4)(ii)(B) provides an alternative manner of furnishing these required statements when the individual shared responsibility payment is zero for the calendar year in which coverage is provided. In this case, the requirement to provide each individual with a statement is satisfied if the reporting entity provides timely, clear and conspicuous notice, in a location on its website that is reasonably accessible, stating that individuals may receive a copy of their statement upon request and does actually furnish the statement within 30 days of receiving a request.
Section 6056 works similarly to section 6055, but applies to applicable large employers (ALEs), generally including employers with 50 or more full-time employees in the previous year. Under section 6056, ALEs must file annual information returns with the IRS, generally using Form 1095-C, providing information relating to the health insurance the ALE offers it is full-time employees, if any. Similarly to section 6055, section 6056 requires ALEs to provide each full-time employee a statement containing the same information filed with the IRS on or before January 31 of the year following the calendar year for which the return was required.
For returns required by sections 6055 and 6056 for calendar years after 2023, sections 6055(c)(3) and 6056(c)(3) provide that a person required to file a return under either section 6055(a) or 6056(a) shall be treated as timely furnishing the written statements required if the person provides clear, conspicuous, and accessible notice that any individual who would otherwise receive a statement may request a copy of their statement AND the copy is timely furnished.
The Notice
Notice 2025-15 brings Treasury Regulation § 1.6055-1(g)(4)(ii)(B) in line with sections 6055(c)(3) and 6056(c)(3), and clarifies its application to statements required under both section 6055 and section 6056. For persons required to furnish a statement under section 6055, the alternative method of furnishing required statements under section 6055(c) is available regardless of whether the individual shared responsibility payment is zero for the calendar year.
ALEs required to furnish a statement under section 6056 may satisfy the alternative method provided under section 6056(3) by complying with Treasury Regulation § 1.6055-1(g)(4)(ii)(B), also without regard to whether the individual shared responsibility payment is zero for the calendar year. The Notice clarifies that ALEs complying with this regulation should substitute the term “full-time employee” for “responsible individual” and “Form 1095-C” for “Form 1095-B.”
Additionally, Notice 2025-15 states that the reporting person and ALE must post the notice described in Treasury Regulation § 1.6055-1(g)(4)(ii)(B) by the due date for furnishing the statement, including the automatic 30-day extension under the relevant regulations. The Notice also clarifies that persons providing minimum essential coverage and ALEs may furnish required statements electronically.
Takeaway
All persons providing minimum essential coverage and all applicable large employers (ALEs) may now use the alternative method of furnishing statements to covered individuals by complying with the requirements of Treasury Regulation § 1.6055-1(g)(4)(ii)(B), without regard to whether the individual shared responsibility payment amount for the calendar year in which coverage is provided is zero. This notice will likely ease compliance burdens for employers providing coverage to employees, and may be used for returns for calendar years after 2023.