26 USC 6432 - Continuation coverage premium assistance

U.S Code last checked for updates: May 02, 2024

§ 6432.

Continuation coverage premium assistance

(a)

In general

(b)

Person to whom premiums are payable

For purposes of subsection (a), except as otherwise provided by the Secretary, the person to whom premiums are payable under such continuation coverage shall be treated as being—

(1)

in the case of any group health plan which is a multiemployer plan (as defined in section 3(37) of the Employee Retirement Income Security Act of 1974), the plan,

(2)

in the case of any group health plan not described in paragraph (1)—

(A)

which is subject to the COBRA continuation provisions contained in—

(i)

the Internal Revenue Code of 1986,

(ii)

the Employee Retirement Income Security Act of 1974, or

(iii)

the Public Health Service Act, or

(B)

under which some or all of the coverage is not provided by insurance,

the employer maintaining the plan, and

(3)

in the case of any group health plan not described in paragraph (1) or (2), the insurer providing the coverage under the group health plan.

(c)

Limitations and refundability

(1)

Credit limited to certain employment taxes

(2)

Refundability of excess credit

(A)

Credit is refundable

(B)

Credit may be advanced

(C)

Treatment of deposits

(D)

Treatment of payments

(3)

Overstatements

(d)

Governmental entities

(e)

Denial of double benefit

(f)

Extension of limitation on assessment

Notwithstanding section 6501, the limitation on the time period for the assessment of any amount attributable to a credit claimed under this section shall not expire before the date that is 5 years after the later of—

(1)

the date on which the original return which includes the calendar quarter with respect to which such credit is determined is filed, or

(2)

the date on which such return is treated as filed under section 6501(b)(2).

(g)

Regulations

The Secretary shall issue such regulations, or other guidance, forms, instructions, and publications, as may be necessary or appropriate to carry out this section, including—

(1)

the requirement to report information or the establishment of other methods for verifying the correct amounts of reimbursements under this section,

(2)

the application of this section to group health plans that are multiemployer plans (as defined in section 3(37) of the Employee Retirement Income Security Act of 1974),

(3)

to allow the advance payment of the credit determined under subsection (a), subject to the limitations provided in this section, based on such information as the Secretary shall require,

(4)

to provide for the reconciliation of such advance payment with the amount of the credit at the time of filing the return of tax for the applicable quarter or taxable year, and

(5)

allowing the credit to third party payors (including professional employer organizations, certified professional employer organizations, or agents under section 3504).

(Added Pub. L. 117–2, title IX, § 9501(b)(1)(A), Mar. 11, 2021, 135 Stat. 134.)

cite as: 26 USC 6432