IRS Adjusts PCORI Fee to $3.47 Per Covered Life for Plan Years Ending After October 1, 2024, and Before October 1, 2025

The Internal Revenue Service (IRS) has issued Notice 2024-83 to adjust the fee paid by insured and self-insured health plans to fund the Patient-Centered Outcomes Research Institute (PCORI). The amount of the PCORI fee is equal to the average number of lives covered during the plan year multiplied by the applicable dollar amount for the year. The applicable dollar amount is adjusted yearly to reflect inflation in National Health Expenditures, as determined by the Secretary of Health and Human Services. For plan years ending on or after October 1, 2025, and before October 1, 2025, the fee is $3.47.

The prior applicable dollar amount was $3.22.

Notice 2024-83 is effective for policy/plan years ending on or after October 1, 2024, and before October 1, 2025. The PCORI payment to IRS is due July 31 of the calendar year immediately following the last day of the policy/plan year. 

The Further Consolidated Appropriations Act, 2020, has extended the Patient-Centered Outcomes Research Trust Fund fee imposed by Internal Revenue Code sections 4375 and 4376 for 10 years. As a result of this extension, the fee will continue to be imposed through 2029.