Risk & Business Magazine JGS Insurance Spring 2020 | Page 7

NJ MANDATES
flat dollar amount. Also, the penalty is
capped at the New Jersey state average of
the annual bronze plan premium.
In November of each year, the New Jersey
state treasurer will send a notification to
each taxpayer who files a gross income tax
return indicating whether the taxpayer
or one of the taxpayer’s dependents is
not enrolled in MEC as required. That
notification will contain information on
the services available to obtain coverage,
including through the state’s federally
facilitated Exchange. The New Jersey state
individual mandate penalty will generally
be assessed and collected in the same
manner as New Jersey state taxes.
REPORTING REQUIREMENT
To help administer the individual
mandate penalty, the New Jersey Health
Insurance Market Preservation Act
imposes a reporting requirement on
every entity that provides MEC to an
individual during a calendar year, similar
to the ACA’s reporting requirement under
Internal Revenue Code Section 6055.
To satisfy this reporting requirement,
reporting entities are required to file
the federal Forms 1094-C and 1095-C,
or 1094-B and 1095-B, as applicable,
through New Jersey’s system for filing
of W-2 forms. For 2019 coverage
information, these forms must be filed
electronically by March 31, 2020. You may
submit these documents using Secure
File Transfer Protocol (SFTP) technology
through the Axway Secure Transport
website. As an alternative to electronic
filing through Axway, the Division of
Taxation is developing a web-based
system so you can send year-end filings
and statements directly through their
website.
Please contact JGS with any questions.
More information on this reporting
requirement is also available on the NJ
Department of the Treasury website. +
BY: BARRY E. FIELDS
VICE PRESIDENT OF EMPLOYEE BENEFITS
JGS INSURANCE
Barry Fields has over 29 years of employee
benefits experience advising clients in a
wide range of industries, professional and
industrial, public and private, throughout
the United States and worldwide.
Barry specializes in providing full-service
benefits consulting to clients including
program design, compliance, plan funding,
underwriting, wellness programs, employee
communications, benefits administration,
employee advocacy and the use of effective
strategies in benefits management.
A dedicated Directors & Officers
Liability policy designed
specifically to address the unique
exposures presented by
Community Associations
Our D&O Policy offers limits starting at $1 million on a
primary or excess basis, is available in all states and was
designed specifically to work in conjunction with our
well established Umbrella Policy.
For more information on these and other programs
visit www.ppp-quotes.com or call 213-399-0079.
Preferred Property Program, Inc. A subsidiary of JGS Insurance
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