New IRS Guidance Answers Questions about ARPA COBRA Subsidy
May 25, 2021
By: John C. Godsoe
As a bonus to Bond’s May 25 webinar about the evolving legal implications of COVID-19 for business, Bond employee benefits attorney John C. Godsoe recorded a short video to provide an update on the American Rescue Plan Act (ARPA) subsidy for COBRA coverage.
Short for Consolidated Omnibus Budget Reconciliation Act, COBRA is the law that enables employees to continue their health insurance coverage after their employment ends. Between April 1 and September 30, 2021, ARPA will subsidize 100% of the monthly COBRA cost for employees who lost their jobs through involuntary termination or a reduction in hours. The Internal Revenue Service recently released guidance answering 86 questions about the provision, such as what constitutes an involuntary termination, how to apply for the subsidy credit and information about the extended election period.
The full presentation covered the following topics:
- Update from Albany
- FAQs Regarding NY Mask Guidance
- COVID Litigation Update
- ARPA COBRA Subsidy Update
- COVID Safety Plan Updates
Click here to view the webinar in its entirety or to register for upcoming Tuesday presentations.