§4980G Failure of Employer to Make Comparable Health Savings Account Contributions

Summary

A tax applies when an employer puts money into an employee’s health savings account but does not meet the required rules for that calendar year. The rules used to decide this are like the ones in section 4980E. The Treasury Secretary must write regulations to make the rules work, including special rules for employers who give money to Archer MSAs and health savings accounts in the same year. If the contribution is for an employee who is not a highly compensated employee (see section 414(q) for the definition), then highly compensated employees cannot be counted as comparable participating employees.