Electronic Filing of the Report of Health Insurance Provider Information, 61547-61548 [2019-24671]
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Federal Register / Vol. 84, No. 219 / Wednesday, November 13, 2019 / Rules and Regulations
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 57
[TD 9881]
RIN 1545–BN57
Electronic Filing of the Report of
Health Insurance Provider Information
Internal Revenue Service (IRS),
Treasury.
ACTION: Final regulations.
AGENCY:
This document contains final
regulations amending the Health
Insurance Providers Fee regulations to
require certain covered entities engaged
in the business of providing health
insurance for United States health risks
to electronically file Form 8963, ‘‘Report
of Health Insurance Provider
Information.’’ These final regulations
affect those entities.
DATES: Effective Date. These regulations
are effective on November 13, 2019.
FOR FURTHER INFORMATION CONTACT:
David Bergman, (202) 317–6845 (not a
toll-free number).
SUPPLEMENTARY INFORMATION:
SUMMARY:
Background
This document contains final
regulations in Title 26 of the Code of
Federal Regulations under section 9010
of the Patient Protection and Affordable
Care Act (PPACA), Public Law 111–148,
124 Stat. 119 (2010), as amended by
section 10905 of PPACA, and as further
amended by section 1406 of the Health
Care and Education Reconciliation Act
of 2010, Public Law 111–152 (124 Stat.
1029 (2010)) (collectively, the
Affordable Care Act or ACA). The final
regulations provide guidance on the
annual fee imposed on covered entities
engaged in the business of providing
health insurance for United States
health risks, and affect persons engaged
in the business of providing health
insurance for United States health risks.
On December 9, 2016, the Treasury
Department and the IRS published a
notice of proposed rulemaking (REG–
123829–16) in the Federal Register, 81
FR 89020, containing proposed
regulations that would amend section
57.3(a)(2) of the Health Insurance
Providers Fee regulations to provide
that a covered entity (including a
controlled group) reporting on a Form
8963 or corrected Form 8963 more than
$25 million in net premiums written
must electronically file the forms after
December 31, 2017. Forms 8963
reporting $25 million or less in net
premiums written are not required to be
VerDate Sep<11>2014
15:58 Nov 12, 2019
Jkt 250001
electronically filed. The proposed
regulations also provided that if a Form
8963 or corrected Form 8963 is required
to be filed electronically, any
subsequent Form 8963 filed for the same
fee year must also be filed
electronically, even if the subsequently
filed Form 8963 reports $25 million or
less in net premiums written. In
addition, the proposed regulations
provided that a failure to electronically
file would be treated as a failure to file
for purposes of section 57.3(b).
No comments were received in
response to the notice of proposed
rulemaking. No public hearing was
requested or held. This Treasury
Decision adopts the proposed
regulations with no substantive change
other than the applicability date. The
rationale provided in the Explanation of
Provisions section of the notice of
proposed rulemaking applies equally to
these final regulations. The electronic
filing requirement will begin in the 2020
fee year because the fee will not be
collected in 2019.
Special Analyses
This regulation is not subject to
review under section 6(b) of Executive
Order 12866 pursuant to the
Memorandum of Agreement (April 11,
2018) between the Department of the
Treasury and the Office of Management
and Budget regarding review of tax
regulations. It is hereby certified that the
electronic filing requirement would not
have a significant economic impact on
a substantial number of small entities
pursuant to the Regulatory Flexibility
Act (5 U.S.C. chapter 6). The rule is
expected to affect primarily larger
entities because the electronic filing
requirement is only imposed if the filer
must report more than $25 million in
net premiums. Small entities are
unlikely to report more than $25 million
in net premiums, and the rule contains
a specific exemption from the electronic
reporting requirement for covered
entities that report $25 million or less in
net premiums written. Accordingly, this
rule will not have a significant
economic impact on a substantial
number of small entities.
Pursuant to section 7805(f) of the
Internal Revenue Code, the notice of
proposed rulemaking preceding these
final regulations was submitted to the
Chief Counsel for Advocacy of the Small
Business Administration for comment
on the impact on small business, and no
comments were received.
Drafting Information
The principal author of these
regulations is David Bergman of the
PO 00000
Frm 00031
Fmt 4700
Sfmt 4700
61547
Office of the Associate Chief Counsel
(Procedure and Administration).
List of Subjects in 26 CFR Part 57
Health insurance, Reporting and
recordkeeping requirements.
Adoption of Amendments to the
Regulations
Accordingly, 26 CFR part 57 is
amended to read as follows:
PART 57—HEALTH INSURANCE
PROVIDERS FEE
Paragraph 1. The authority citation
for 26 CFR part 57 continues to read in
part as follows:
■
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 57.3 is amended by
revising paragraph (a)(2) to read as
follows:
■
§ 57.3 Reporting requirements and
associated penalties.
(a) * * *
(2) Manner of reporting—(i) In
general. The IRS may provide rules in
guidance published in the Internal
Revenue Bulletin for the manner of
reporting by a covered entity under this
section, including rules for reporting by
a designated entity on behalf of a
controlled group that is treated as a
single covered entity.
(ii) Electronic Filing Required. Any
Form 8963 (including corrected forms)
filed pursuant to paragraph (a)(1) of this
section and reporting more than $25
million in net premiums written must
be filed electronically in accordance
with the instructions to the form. If a
Form 8963 or corrected Form 8963 is
required to be filed electronically under
this paragraph (a)(2)(ii), any
subsequently filed Form 8963 filed for
the same fee year must also be filed
electronically. For purposes of § 57.3(b),
any Form 8963 required to be filed
electronically under this section will
not be considered filed unless it is filed
electronically.
*
*
*
*
*
Par. 3. Section 57.10 is amended by
revising the section heading, paragraph
(a) and adding paragraph (c) to read as
follows:
■
§ 57.10
Applicability date.
(a) Except as provided in paragraphs
(b) and (c) of this section, §§ 57.1
through 57.9 apply to any fee that is due
on or after September 30, 2014.
*
*
*
*
*
E:\FR\FM\13NOR1.SGM
13NOR1
61548
Federal Register / Vol. 84, No. 219 / Wednesday, November 13, 2019 / Rules and Regulations
(c) Section 57.3(a)(2)(ii) applies to
Forms 8963, including corrected Forms
8963, filed after December 31, 2019.
Sunita Lough,
Deputy Commissioner for Services and
Enforcement.
Approved: October 29, 2019.
David J. Kautter,
Assistant Secretary of the Treasury (Tax
Policy).
[FR Doc. 2019–24671 Filed 11–8–19; 4:15 pm]
BILLING CODE P
DEPARTMENT OF VETERANS
AFFAIRS
38 CFR Part 17
RIN 2900–AQ54
Veterans Healing Veterans Medical
Access and Scholarship Program
Department of Veterans Affairs.
Final rule.
AGENCY:
ACTION:
The Department of Veterans
Affairs (VA) is amending its regulations
that govern scholarships to certain
health care professionals. This
rulemaking implements the mandates of
the VA MISSION Act of 2018 by
establishing a pilot program to provide
funding for the medical education of
eligible veterans who are enrolled in
covered medical schools.
DATES: This final rule is effective
December 13, 2019.
FOR FURTHER INFORMATION CONTACT:
Marjorie A. Bowman, MD, Chief
Academic Affiliations Officer, Office of
Academic Affiliations (10X1), U.S.
Department of Veterans Affairs, 810
Vermont Avenue NW, Washington, DC
20420, (202) 461–9490. (This is not a
toll-free number.)
SUPPLEMENTARY INFORMATION: In a
document published in the Federal
Register on May 21, 2019, VA published
a proposed rule, which proposed to
amend its regulations that govern
scholarships to certain health care
professionals. 84 FR 22990. VA
provided a 60-day comment period,
which ended on July 22, 2019. We
received 7 comments on the proposed
rule.
On June 6, 2018, section 304 of Public
Law 115–182, the John S. McCain III,
Daniel K. Akaka, and Samuel R. Johnson
VA Maintaining Internal Systems and
Strengthening Integrated Outside
Networks Act of 2018, or the VA
MISSION Act of 2018, established a
pilot program that would provide
funding for medical education to 18
eligible veterans who enroll in covered
SUMMARY:
VerDate Sep<11>2014
15:58 Nov 12, 2019
Jkt 250001
medical schools. This is known as the
Veterans Healing Veterans Medical
Access and Scholarship Program
(VHVMASP). For the VHVMASP, the
VA MISSION Act of 2018 sets forth the
eligibility criteria; the amount and types
of available funding; established terms
of an agreement to be entered into by
the participant; as well as, the
consequences for a breach in such
agreement. This final rule establishes
the regulations needed to carry out the
VHVMASP. Immediately following title
38 of the Code of Federal Regulations
(CFR) 17.612, we are adding a new
undesignated center heading titled
‘‘Veterans Healing Veterans Medical
Access and Scholarship Program’’ and
add new §§ 17.613 through 17.618.
One commenter was in support of the
proposed rule. The commenter stated
that they commend the proposition of a
program that allows those who have
fought so selflessly for our country the
opportunity to better themselves
through education and then turn around
and give back to fellow veterans. The
commenter believes that the rule will
not only be immensely powerful for the
veterans that are able to have their
medical education funded, but also for
the large number of veterans that they
will be able to help. We make no
changes based on this comment.
Multiple commenters recommended
that the program include more
universities. In particular, a commenter
stated that they understand that the
pilot program is in its infancy, but
recommends that more universities be
included and more scholarships be
granted as the program grows and
progresses. Another commenter
similarly stated that there needs to be
more schools where the VHVMASP is
provided since there is not even one
covered school in every state that has a
VA medical facility. This same
commenter also stated that this is an
amazing idea and maybe some other
types of schooling should be included
in the VHVMASP, such as law school
and drug and alcohol training for
counseling, as this is a big area of issues
for veterans. Another commenter also
stated that the program should not be
limited to these six schools, but should
be allowed to be available at any
accredited medical school, for example,
Harvard, Wisconsin, or the University of
California at San Francisco. VA
understands that the VHVMASP is
limited. Section 304 of the VA MISSION
Act of 2018 limits the VHVMASP to the
nine covered medical schools and to
provide funding specifically for medical
education. VA does not have the
authority to expand the program to
additional medical schools or to expand
PO 00000
Frm 00032
Fmt 4700
Sfmt 4700
the program to degrees that do not lead
to a medical education. We are not
making any changes based on these
comments.
Multiple commenters also raised
concerns about the limitation that a
veteran is only eligible if discharged
within the past ten years. A commenter
questioned why the proposed rule
stated that the veterans need to have
only been out of the military for no
more than ten years. Another
commenter suggested that VA should
reconsider and drop the within ten-year
requirement because this requirement
serves veterans to no benefit except to
limit and disqualify a number of
veterans who would be interested in
this program. This commenter stated
that the program is already extremely
limited because it is a pilot program and
that there also seems to be no obvious
benefit to VA except cutting out
applicants for no good reason. The
commenter added that if the limitation
targeted older veterans less likely to
complete the program it might be
justifiable, but a requirement of having
to have served within ten years does not
target the age of the applicant. Also, an
applicant could have been any age when
retiring or being discharged from
service. Lastly, the commenter stated
that the limitation does not seem
justified and should be reconsidered or
VA should consider adding exceptions
to this portion of the rule. Another
commenter similarly stated that
narrowing this program down to only
veterans who have been out of the
armed forces for a period of no less than
ten years is a disservice to thousands of
veterans. Several commenters stated
that the current proposal allows a
veteran out of the military for four years
with a general discharge (or perhaps
even a bad conduct discharge) to be
eligible for this scholarship while a
veteran with an honorable discharge
who has been working as a nurse for ten
years and wishes to take advantage of
this program and go to medical school
would not be eligible. The commenters
indicated that at a minimum, there
should be an exception to the ten-year
rule for honorably discharged veterans
or veterans should not be allowed to
count time using the GI Bill or
Vocational Rehabilitation against them
(i.e.: if a veteran has been out of the
military for 12 years but five years of
that was spent using GI Bill or
Vocational Rehabilitation, for this
program VA should allow the veteran to
subtract those five years from the 12). A
commenter added that given that this
scholarship is limited to two students
per school, there is no burden to
E:\FR\FM\13NOR1.SGM
13NOR1
]]>Agencies
[Federal Register Volume 84, Number 219 (Wednesday, November 13, 2019)]
[Rules and Regulations]
[Pages 61547-61548]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-24671]
[[Page 61547]]
=======================================================================
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 57
[TD 9881]
RIN 1545-BN57
Electronic Filing of the Report of Health Insurance Provider
Information
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Final regulations.
-----------------------------------------------------------------------
SUMMARY: This document contains final regulations amending the Health
Insurance Providers Fee regulations to require certain covered entities
engaged in the business of providing health insurance for United States
health risks to electronically file Form 8963, ``Report of Health
Insurance Provider Information.'' These final regulations affect those
entities.
DATES: Effective Date. These regulations are effective on November 13,
2019.
FOR FURTHER INFORMATION CONTACT: David Bergman, (202) 317-6845 (not a
toll-free number).
SUPPLEMENTARY INFORMATION:
Background
This document contains final regulations in Title 26 of the Code of
Federal Regulations under section 9010 of the Patient Protection and
Affordable Care Act (PPACA), Public Law 111-148, 124 Stat. 119 (2010),
as amended by section 10905 of PPACA, and as further amended by section
1406 of the Health Care and Education Reconciliation Act of 2010,
Public Law 111-152 (124 Stat. 1029 (2010)) (collectively, the
Affordable Care Act or ACA). The final regulations provide guidance on
the annual fee imposed on covered entities engaged in the business of
providing health insurance for United States health risks, and affect
persons engaged in the business of providing health insurance for
United States health risks.
On December 9, 2016, the Treasury Department and the IRS published
a notice of proposed rulemaking (REG-123829-16) in the Federal
Register, 81 FR 89020, containing proposed regulations that would amend
section 57.3(a)(2) of the Health Insurance Providers Fee regulations to
provide that a covered entity (including a controlled group) reporting
on a Form 8963 or corrected Form 8963 more than $25 million in net
premiums written must electronically file the forms after December 31,
2017. Forms 8963 reporting $25 million or less in net premiums written
are not required to be electronically filed. The proposed regulations
also provided that if a Form 8963 or corrected Form 8963 is required to
be filed electronically, any subsequent Form 8963 filed for the same
fee year must also be filed electronically, even if the subsequently
filed Form 8963 reports $25 million or less in net premiums written. In
addition, the proposed regulations provided that a failure to
electronically file would be treated as a failure to file for purposes
of section 57.3(b).
No comments were received in response to the notice of proposed
rulemaking. No public hearing was requested or held. This Treasury
Decision adopts the proposed regulations with no substantive change
other than the applicability date. The rationale provided in the
Explanation of Provisions section of the notice of proposed rulemaking
applies equally to these final regulations. The electronic filing
requirement will begin in the 2020 fee year because the fee will not be
collected in 2019.
Special Analyses
This regulation is not subject to review under section 6(b) of
Executive Order 12866 pursuant to the Memorandum of Agreement (April
11, 2018) between the Department of the Treasury and the Office of
Management and Budget regarding review of tax regulations. It is hereby
certified that the electronic filing requirement would not have a
significant economic impact on a substantial number of small entities
pursuant to the Regulatory Flexibility Act (5 U.S.C. chapter 6). The
rule is expected to affect primarily larger entities because the
electronic filing requirement is only imposed if the filer must report
more than $25 million in net premiums. Small entities are unlikely to
report more than $25 million in net premiums, and the rule contains a
specific exemption from the electronic reporting requirement for
covered entities that report $25 million or less in net premiums
written. Accordingly, this rule will not have a significant economic
impact on a substantial number of small entities.
Pursuant to section 7805(f) of the Internal Revenue Code, the
notice of proposed rulemaking preceding these final regulations was
submitted to the Chief Counsel for Advocacy of the Small Business
Administration for comment on the impact on small business, and no
comments were received.
Drafting Information
The principal author of these regulations is David Bergman of the
Office of the Associate Chief Counsel (Procedure and Administration).
List of Subjects in 26 CFR Part 57
Health insurance, Reporting and recordkeeping requirements.
Adoption of Amendments to the Regulations
Accordingly, 26 CFR part 57 is amended to read as follows:
PART 57--HEALTH INSURANCE PROVIDERS FEE
0
Paragraph 1. The authority citation for 26 CFR part 57 continues to
read in part as follows:
Authority: 26 U.S.C. 7805 * * *
0
Par. 2. Section 57.3 is amended by revising paragraph (a)(2) to read as
follows:
Sec. 57.3 Reporting requirements and associated penalties.
(a) * * *
(2) Manner of reporting--(i) In general. The IRS may provide rules
in guidance published in the Internal Revenue Bulletin for the manner
of reporting by a covered entity under this section, including rules
for reporting by a designated entity on behalf of a controlled group
that is treated as a single covered entity.
(ii) Electronic Filing Required. Any Form 8963 (including corrected
forms) filed pursuant to paragraph (a)(1) of this section and reporting
more than $25 million in net premiums written must be filed
electronically in accordance with the instructions to the form. If a
Form 8963 or corrected Form 8963 is required to be filed electronically
under this paragraph (a)(2)(ii), any subsequently filed Form 8963 filed
for the same fee year must also be filed electronically. For purposes
of Sec. 57.3(b), any Form 8963 required to be filed electronically
under this section will not be considered filed unless it is filed
electronically.
* * * * *
0
Par. 3. Section 57.10 is amended by revising the section heading,
paragraph (a) and adding paragraph (c) to read as follows:
Sec. 57.10 Applicability date.
(a) Except as provided in paragraphs (b) and (c) of this section,
Sec. Sec. 57.1 through 57.9 apply to any fee that is due on or after
September 30, 2014.
* * * * *
[[Page 61548]]
(c) Section 57.3(a)(2)(ii) applies to Forms 8963, including
corrected Forms 8963, filed after December 31, 2019.
Sunita Lough,
Deputy Commissioner for Services and Enforcement.
Approved: October 29, 2019.
David J. Kautter,
Assistant Secretary of the Treasury (Tax Policy).
[FR Doc. 2019-24671 Filed 11-8-19; 4:15 pm]
BILLING CODE P
