ACA and IRS Letter 5699

We recently received a call from a company that had received a Letter 5699 from the IRS.   They were wondering what it meant, what they needed to do, and if they should panic. While you should not panic, you do need to pay attention to this important letter. What is a Letter 5699?  A Letter 5699 is sent by the IRS to employers who have not complied with ACA reporting requirements.  It is an inquiry asking why the employer has not filed the Forms 1094-C and 1095-C to the IRS in previous calendar years.  This letter must be responded to within 30 days of receiving the letter.  A Letter 5699 informs an employer that the IRS believes they may have been an Applicable Large Employer (ALE) for the tax year(s) in question and, as a result, certain reporting requirements were due, but have yet to be received by the IRS.  The letter…read more...

Tis the Season To Be Jolly… and to Plan the Company Holiday Party!

While the season is certainly jolly, the holidays can also cause employer liability as you begin to plan your company holiday celebrations.  We have some great ideas for you to celebrate the holidays season and to keep you and employees safe, fun, respectful, and inclusive.   Outside the Box Holiday Festivities Consider distributing toys to underprivileged children followed by a nice lunch.  Or head to an escape room.  People can come together and build their teams while having fun and creating lasting memories! Celebrate During Work Hours Consider a catered holiday lunch at the office or at a nice restaurant during the workday.  Close the office at 12 PM and invite all employees out to enjoy their work colleagues during the holiday season. Schedule a holiday potluck lunch at the office! Have a Secret Snowman exchange with a set dollar limit. These are a lot of fun! Re-consider the Alcohol If you…read more...

Project Management: The Prescription for Successful Hiring

Most business leaders today are keenly aware of the downsides of a bad hire. On the flip side, they understand how landing the right talent can energize a company’s success and potentially boost positive feelings within a company culture and workforce.   How costly is a bad hire on purely financial terms? Estimates vary, but the broad answer is very. Traveling back in time to 2003, the U.S. Department of Labor estimated that the average cost of a bad hiring decision can equal 30% of the individual’s first-year potential earnings. It’s probably higher today. Tony Hsieh, the founder and CEO at Zappos, told Business Insider in 2010 that bad hires had cost his company $100 million. The recruitment wars are littered with anecdotes and statistics about the horror bad hires can bring.   Apart from the financial risks, there are other unwanted intangibles resulting from a bad hire. Mainly, there…read more...

Keep up with the latest HR Alerts and Industry News

Site Archives

Recent Posts

MENU