IRS Guidance on Health FSA and DCAP Relief

Section 214 of the Consolidated Appropriations Act, 2021 (“CAA”) included optional and temporary relief for health flexible spending accounts (“health FSAs”) and dependent care assistance programs (“DCAPs”) offered in a Section 125 cafeteria plan (“cafeteria plan”). On February 18, 2021, the Internal Revenue Service (“IRS”) issued Notice 2021-15 providing guidance addressing these optional plan changes.

For more information please click on the attached link.

IRS Guidance on Health FSA and DCAP Relief – 031621R