What's the Fringe Benefits?
It is received in connection with the performance of your services. In general, it is included in your income as compensation unless you pay fair market value for them or they are specifically excluded by law.
You must realize the accounting period used by your employer:
2 options available for your employer to report taxable noncash fringe benefits:
1. full calendar year (Jan-1 to Dec-31)
2. treat the last 2 months of the calendar year (or any shorter period) as a part of the following calendar year (e.g. Nov-1 2011 to Oct-31 2012)
Employer can use different accounting period for each fringe benefits, but must use the same period for each particular benefits.
Employee must use the same accounting method as employer used
PSQ
Source: http://www.irs.gov
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