The Internal Revenue Service (IRS) has issued Notice 2024-83 to increase the Patient-Centered Outcomes Research Institute (PCORI) fee amount for plan years ending on or after Oct. 1, 2024, and before Oct. 1, 2025. The updated PCORI fee amount is $3.47 multiplied by the average number of lives covered under the plan.
For plan years that ended on or after Oct. 1, 2023, and before Oct. 1, 2024, the PCORI fee amount is $3.22 multiplied by the average number of lives covered under the plan.
Key Facts
Covered Plans
The PCORI fees generally apply to insurance policies providing accident and health coverage and self-insured group health plans.
Applicability Dates
The PCORI fee applies to plan or policy years ending on or after Oct. 1, 2012, and before Oct. 1, 2029.
Payment Deadline
PCORI fees are due for plan or policy years ending in 2024 on July 31, 2025.
Read the full article
PCORI Fee Amount Adjusted for 2025
Leavitt Group | Jan 2025
Notice 2024-83
About Form 720, Quarterly Federal Excise Tax Return
Patient-Centered Outcomes Research Trust Fund fee (IRC 4375, 4376 and 4377): Questions and answers
IRS
Articles
Filing PCORI fees involves a few key steps:
- Determine Applicability: Confirm whether your organization is subject to the PCORI fee. This applies to the issuers of specified health insurance policies and sponsors of applicable self-insured health plans.
- Calculate the Fee: Use one of the approved methods to calculate the average number of lives covered under the policy or plan. Multiply this number by the applicable dollar amount for the year, which is adjusted annually for inflation.
- Complete IRS Form 720: The PCORI fee is reported on IRS Form 720, specifically in the section for the second quarter. Although Form 720 is a quarterly return, it is filed annually for PCORI fees.
- Submit Payment: Payments must be made through the Electronic Federal Tax Payment System (EFTPS). Ensure the payment is applied to the second quarter when completing the "Business Tax Payment" section.
- Meet the Deadline: The filing and payment deadline is typically July 31, following the end of the plan year.
The resources in this section aim to provide guidance on complying with PCORI requirements and provide insights into key components for filing.
What, Me PCORI? – Fee Update for Self-Funded Plans
Bricker Graydon | Mar 2025
PCORI Fee Guide
Brown & Brown | Jan 2025
Form 720 and PCORI fee FAQs
People Keep | May 2024
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