PCORI Fees Due to the IRS by 7/31/16 for Self-Insured Employers
PCORI fees are used to fund the Patient Centered Outcomes Research Institute. The purpose of this Institute is to fund and conduct research that determines the effectiveness of medical services that help prevent illness or injury.
Who needs to pay the PCORI fee?
If you are fully insured: The insurance carrier pays the fee on behalf of the policyholder.
If you are self-insured: All self-insured medical plans must pay the fee unless the plan is either
- primarily for employees working/residing outside of the US or
- is considered an excepted-benefit
Insurers are not allowed to pay or calculate this if you are self-insured, but your PCORI fee is tax deductible. The fee is based on the number of covered lives on your plan.
What form do I need and where do I get it?
The fee is self reported on IRS Excise Tax Form 720 and is due annually by July 31.
Contact us today to learn more: http://www.maxservicesgroup.com/contact/