1095-C’s Undeliverable – What to do?
Now that you’ve sent out 1095-C’s to all of your employees by the March 31st deadline, what do you do when the postman brings you a stack of undeliverable forms for former employees who have moved?
If you’ve read the instructions on the 1095-C, you’ll notice that the “Return to sender” situation is not addressed. This is likely to affect a substantial number of employers that meet the definition of an ALE (Applicable Large Employer). The consensus among advisors is that companies should follow the same guidelines dictated by the 2016 W-2 Form. The W-2 states that an employer should keep, for 4 years, any employee copies of Forms W-2 that “you tried to but could not deliver.” Additional evidence like a receipt from a 3rd party administrator hired to complete your 1095-C’s is also recommended.