By April Handlir, EHD Compliance Specialist

If forms are a task that brings excitement to your workday, this IRS form may disappoint you. Here’s to hoping your plans are compliant and excise tax is just a dull word.

Who is responsible for this form: Employers, group health plans, plan administrators (if responsible), and plan sponsors of all sizes and funding types, including grandfathered health plans, must comply. However, grandfathered plans are exempt from the pediatric vaccination requirement. It is advisable to work with your tax preparer.

What is form 8928: An excise tax under the Internal Revenue Code that holds plans liable if certain requirements are not met. It is the plan’s responsibility to ensure compliance with these requirements; the IRS will not notify you in advance if there are issues, and any notice will come only after non-compliance has been identified.

When must the form be submitted: There are several sections applicable, dependent upon the failure of the plan.

  1. Section 4980B applies to COBRA (continuation, qualifying events, beneficiaries, election period, duration, and notification failures)
  2. Section 4980D applies to HIPAA, ACA, MHPAEA (portability, accessibility, renewability, market reform, and the pediatric vaccination failures)
  • Sections B and D should be filed by the last day of the seventh month following the plan year end – 7/31/2025
  1. Section 4980E applies to Archer MSAs (all employee contributions need to be comparable)
  2. Section 4980G applies to HSAs (all employee contributions need to be comparable)
  • Sections E and G should be filed by the 15th day of the fourth month following the calendar year – 4/15/2025

Why would I need to pay an excise tax: An excise tax is imposed only if your plan fails to comply with the following requirements:

  1. Pediatric vaccination coverage
  2. COBRA continuation coverage to qualified beneficiaries
  3. Plan portability, access, market reforms, and renewability
  4. Comparable contributions to Archer MSAs or HSAs  

How do I pay the excise tax if the group health plan has failures: Complete the form by the designated deadline.

Where should I go to find the form and the instructions: Form 8928 – form & instructions