The 2023 PCORI fee deadline is on July 31, 2023. The annual PCORI fee is funded in part by certain health insurers and sponsors of applicable self-insured health plans, including HRAs, to fund the Patient-Centered Outcomes Research Institute to support clinical effectiveness research.
The Patient-Centered Outcomes Research Institute (PCORI) is an independent nonprofit organization that has a mission to fund research that will provide patients, their caregivers, and clinicians with the evidence-based information needed to make better-informed health care decisions.
- For plan years that ended on or after October 1, 2022, and before October 1, 2023 (including calendar year plans), the fee is $3.00 per person.
- For plan years that ended on or before October 2022, the fee is $2.79 per person.
If you, your clients, or any business you know utilizes the BASE® Section 105 HRA, ICHRA, QSEHRA and/or Integrated HRA, they have been notified on how to handle the IRS Form 720 for the purposes of addressing the PCORI fee. Not all HRA clients will be required to pay the fee per IRS and Department of Labor guidance issued in September 2013.
- HRA (with only 1 employee) – Business owners with these HRA plan designs in place are exempt from paying the PCORI fee. (Note: QSEHRA plans must pay fee regardless of participant size according to Notice 2017-67).
- HRA (with 2 or more employees) – Business owners with two or more employees that have an HRA in place are required to pay the fee by July 31, 2023. These clients have been notified, and you may find a copy of the notice sent as a downloadable PDF document in your online BASE® Business Partner account in the “Resources” section under “Supporting Documentation” labeled PCORI Fee Information.
A current form can be found here, with instructions. Employers that fail to pay the fee, or the incorrect amount, could be subject to penalties. For complete instructions on completing the Form 720, please visit the IRS website.
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