On December 28, 2018, the IRS Office of the Chief Counsel released Informational Letter 2018-0033 to clarify when employers can request to recover mistaken HSA contributions. This letter should be used to interpret IRS Notice 2008-59, the previous guidance that served as a primary source of information on HSA issues and administrative procedures.
The letter states that situations previously set forth in IRS Notice 2008-59 were not intended to be an exclusive list, and as long as the parties are put in the same position they would have been had the error not occurred, employers can request excess contributions be returned when they were a result of an administrative or process error.
Correctable errors under Notice 2008-59
Examples of clarified correctable errors under Informational Letter 2018-0033
If you have additional questions or comments, please reach out to your Sales Executive or Account Manager to discuss them. Thank you.
Links
Having a primary care physician is one of the most important things an individual can do for their health, as it helps ensure they receive regular check-ups, aids in preventive care and allows for...
With the start of the new year, many Americans have revitalized energy surrounding their health and well-being for the upcoming year. For many working Americans, top-down support of physical...
Economic pressures such as inflation and higher interest rates have impacted how far an employee’s dollar goes. Employees have started looking to their employers for education and support on topics...