Use of your
FSA debit card is restricted to pharmacies/grocery stores that have
either implemented an Inventory Information Approval System
(IIAS) or have certified that 90% of its cash register receipts in
the previous calendar year were for FSA eligible expenses.
Transactions at any other pharmacy/grocer store have to be declined.
Please see below for a list of stores that have these systems in
place.
Inventory Information Approval System (IIAS)
IIAS allows
you to use your FSA Debit Card at stores that are not typical health
care providers (grocery stores, discount stores, warehouse clubs,
etc.). IIAS restricts purchases with the cards to FSA-eligible expenses. If you make a purchase at one of these stores, you should never have to submit follow-up documentation.
Example:
Tom goes to the cash register at a store with IIAS in place with a six-pack of cola and a container of aspirin and swipes his FSA Debit Card (and selects the credit option). The card pays for Tom's aspirin and then the cashier asks Tom to pay for his cola with a separate form of payment. Because the store with
IIAS in place confirms that only expenses eligible for a tax break were paid for with Tom's FSA debit card, no follow up documentation has to be submitted to ASIFlex. Tom goes home and puts his receipt in an envelope designated for the current plan year so that if the IRS audits him, he has all necessary documentation readily available to him.
The Special Interest Group (SIGIS) for Inventory Information Approval System Standards maintains a list of retail outlets that have implemented the Inventory Control System. Remember, if you use your FSA debit card at any of these stores, you will not have to submit follow-up documentation for these purchases.
View the
IIAS list
(Please note that Walgreens also has implemented the Inventory
Control System but they are not a part of SIGIS. No follow up
documentation will be required for debit card purchases made at
Walgreens.)
View the 90% certification list. Please note that
purchases at these stores will prompt a request for follow up
documentation unless your purchase matches your prescription
co-payment amount.