IRS Guidance Provides Limited Transition Relief
As part of Notice 2015-7, the IRS issued guidance on Feb. 18 providing limited transition relief for certain premium reimbursement plans, including: The relief does not extend to stand-alone HRAs or other arrangements to reimburse employees for medical expenses other than insurance premiums, which remain prohibited as outlined in IRS Notice 2013-54. In summary, the guidance provides the following limited relief: 1. Employers who did not qualify as “applicable large employers” (ALE) for all of 2014, and