Question

The "employer shared responsibility" provisions of the ACA apply to large employers with 50 or more full-time plus full-time-equivalent employees. Large employers can avoid tax penalties by?

1) Offering affordable health coverage to their full-time employees
2) Providing health insurance to their part-time employees
3) Reducing the number of employees to less than 50
4) Not offering any health coverage to their employees

Answer 1

To avoid tax penalties under the ACA, large employers can offer affordable health coverage to full-time employees, provide health insurance to part-time employees, or not offer any health coverage resulting in tax penalties.

Step-by-step explanation:

The 'employer shared responsibility' provisions of the ACA apply to large employers with 50 or more full-time plus full-time-equivalent employees. To avoid tax penalties under the ACA, large employers can:

1. Offer affordable health coverage to their full-time employees;
2. Provide health insurance to their part-time employees;
3. Not offering any health coverage to their employees will likely result in tax penalties.