An applicable large employer with respect to a calendar year is defined in IRC Section 4980H(c)(2) as an employer that employed an average of at least 50 combined full-time employees and full-time equivalents on business days during the preceding calendar year.

The determination of whether an employer not in existence the preceding calendar year is an applicable large employer is based on the average number of employees that the company was reasonably expected to employ on business days in the current calendar year.

If an employer was in existence for only part of the preceding calendar year, it is based on the average number of full-time employees and equivalents during the period of existence.

For CY2015, the threshold is 100.