- This is a reminder that employer groups offering self-insured health plans, including Health Reimbursement Arrangements (HRAs), must pay the annual Patient-Centered Outcomes Research Institute (PCORI) fee to the IRS by July 31, 2025.
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| The PCORI fee, established under the Affordable Care Act (ACA), supports research to improve health care outcomes. It applies annually to issuers of specified health insurance policies and plan sponsors of applicable self-insured plans. The fee is scheduled to sunset after September 30, 2029, with the final payment due July 31, 2030. |
| Key Details for 2025: |
- Employers are responsible for calculating, reporting, and paying the fee for self-insured plans using IRS Form 720.
- When calculating covered lives, include both employees and their covered dependents.
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| Applicable Fee Amounts: |
- $3.47 per covered life for plan years ending October 1, 2024 through December 31, 2024.
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| Payment Process: |
- File IRS Form 720
- Make payment via the Electronic Federal Tax Payment System (EFTPS).
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| Helpful IRS Resources: |
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| Your HRA benefits vendor or third-party administrator may be able to assist in completing the necessary forms. |