Employers who filed 250 or more Forms W-2 for 2011 are required to report the cost of employer sponsored group health plan coverage in 2012 on each employee’s form W-2. This requirement is for informational purposes to reflect the value of the employee’s healthcare benefits.
QuickBooks Payroll includes a tax tracking type, Health Coverage Cost, to support this reporting requirement. This allows you to track the cost of healthcare coverage for reporting on the employees’ 2012 form W-2 in box 12, code DD. Additional information is available at Intuit Payroll.