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April 21, 2014

Treasury Department Postpones Pay or Play Rules

On July 2, 2013, the U.S. Treasury Department announced it is postponing the effective date of the so-called “shared responsibility” or “pay or play” rules under the Patient Protection and Affordable Care Act (ACA). These rules require employers with more than fifty full-time equivalent employees to provide qualifying health insurance coverage to their employees. Employers would pay a penalty if they fail to do so.

The employer mandate was scheduled to take effect January 1, 2014. However, yesterday, the Treasury Department delayed implementation until January 1, 2015.

The Treasury Department’s announcement is clear that no other provision of the ACA is affected by its decision to delay implementation of the employer mandate.

©2014 von Briesen & Roper, s.c

About the Author

Patrick J. Cannon, Health and Business Law Attorney with von Briesen law firm
Attorney

Patrick Cannon is a member of the Business, Health, and Compensation and Benefits/ERISA Law Sections. His practice focuses on mergers and acquisitions, corporate entity formation and continued growth strategy, commercial contract negotiation and drafting, general health law, and all areas of employee benefits law including health, welfare, corporate pension, 401(k), profit sharing, and non-qualified deferred compensation programs, among others.

Prior to joining von Briesen, Patrick worked as General Counsel for MediRevv, Inc., a health care revenue cycle management company. As...

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