Skip to main content

ACA Penalties and What You Need to Do When You Receive a Letter 226J

ACA penalties are a reality and it's important to be prepared. The IRS gives employers 30 days to respond to Letter 226J. This has left many employers scrambling to investigate the tax assessments or asking for extensions. Often ACA penalties can be reduced after an in-depth investigation and comprehensive response with documentation. We'll walk through:

  • What is a Letter 226J
  • Why you might receive one
  • An example letter 226J
  • The steps you should use to respond
  • How vendors can help with ACA penalties