Employers need not detail on their Forms 941 every subsidy-eligible individual who is receiving the 65% COBRA subsidy, according to the IRS's most recent clarification. This is key, since you probably don't know how many individuals in an employee's family are receiving the subsidy.
Form 941 mechanics. Form 941 has been redesigned to include a line related to the COBRA subsidy — Line 12a, COBRA premium assistance payments, and Line 12b, Number of Recipients who received COBRA premium assistance payments reported on Line 12a. Questions have arisen regarding how Line 12b should be completed. The IRS says that each subsidy-eligible individual who paid a reduced COBRA premium during the quarter should be counted as one individual, even if that individual's COBRA election and subsidy was for family coverage.
The IRS also says that each subsidy-eligible individual is reported on Line 12b only once per quart...(register to read more)