De Minimis Benefits:
If your employer provides you with a product or service at a very low cost, you don't need to include this part as your income. General examples would be discounts at company cafeterias, cab fares home when working overtime, and company picnics.
During Christmas or other holidays, you may receive holiday gifts as following:
| Turkey, Ham, etc. | Cash, gift certificate or similar item that you easily can exchange for cash |
| Nontaxable | Taxable as extra salary or wages regardless of the amount involved |
Another similar benefit is No-Additional Cost Services:
You receive service from employer free, at cost, or for a reduced price is not included in your income if employer:
- Offers the same service for sale to customers in the ordinary course of the line of business in which you work
- Does not have a substantial additional cost (including any sales income given up)
Generally, they are excess capacity services, such as airline, bus, or train tickets, hotel rooms, and telephone services.
PSQ
Source: http://www.irs.gov
No comments:
Post a Comment