When was the last COBRA subsidy?

Sept. 30, 2021
Under ARPA, an assistance eligible individual (AEI), which is a COBRA qualified beneficiary who becomes eligible for COBRA due to a reduction in hours or involuntary termination of employment, may be eligible for a COBRA subsidy equal to the entire COBRA premium for the period from April 1, 2021 through Sept. 30, 2021.

What is COBRA subsidy?

The COBRA subsidy employer tax credit is intended to offset the employer’s Medicare tax liability. It is a fully refundable tax credit, meaning that employers can receive a refund from the IRS if the available credit exceeds their Medicare tax liability for the quarter.

Who is eligible for the COBRA premium subsidy?

Yes, you can receive the premium subsidy if you lost your employer sponsored health care coverage due to a reduction in hours or an involuntary job loss and you are not eligible for health care coverage from another source, such as a new job, your spouse’s employer, Medi-Cal, or Medicare. 4.

What is the 100 COBRA subsidy?

The new 100 percent premium subsidy under the American Rescue Plan Act (ARPA) applies to individuals eligible for COBRA coverage due to either a reduction in hours or an involuntary termination of employment, and it applies for the period from April 1, 2021, to Sept. 30, 2021.

Did the COBRA subsidy end?

The COBRA premium subsidy ends on the earlier of (i) September 30, 2021, (ii) the date the AEI reaches the end of their maximum COBRA continuation period or (iii) the date the AEI becomes eligible for Medicare or another group health plan.

Has the COBRA subsidy been extended?

The COBRA subsidy has been extended until September 30, 2021. Currently this is the final date for subsidy assistance.

When did COBRA subsidy start?

April 1
In anticipation of the measure’s enactment and the subsidy’s April 1 effective date, employers should start “working hard to gather the names of COBRA qualified beneficiaries who had a qualifying event in 2020 so they can make sure that anybody who is eligible for COBRA during the six-month subsidy period gets a notice …

How do I claim my COBRA subsidy credit?

Request an Advance from the IRS: Employers can use Form 7200, Advance Payment of Employer Credits Due to COVID-19, to request an advance of the Credit. However, Form 7200 can only be submitted if the anticipated COBRA Premium subsidy is greater than the employer’s Federal employment tax liability.

Was the COBRA subsidy extended?

How do I get reimbursed for COBRA subsidy?

What happens after the COBRA subsidy ends?

Loss of the COBRA subsidy will make someone eligible for special enrollment for marketplace coverage. This may be worth exploring to determine if the marketplace coverage is more economical than unsubsidized COBRA.

Is there an extension for COBRA subsidy?

The American Rescue Plan Act (ARPA) included a provision to fully subsidize COBRA premiums for a period of up to six months from April 1, 2021, through Sept. 30, 2021, for individuals who lost health coverage (including dental and vision) due to involuntary termination or reduction in hours since November 2019.