The COVID-19 pandemic and the declaration of a national emergency raises questions about the treatment of various fringe benefits. This includes reimbursement for work at home expenses, paid and unpaid leave, sick pay, dependent care costs, medical expenses, leave sharing arrangements, and disaster relief payments. This session will include a discussion of the tax treatment of benefits employers may provide to employees during the national disaster.
In addition, the tax reform provisions of the 2017 Jobs Creation and Tax Act (JCTA) changed the rules for a number of popular benefits. Some benefits which could previously be excluded from employee wages under prior law are now taxable and for some benefits, the employer can no longer deduct some or all of the cost. This Webinar covers the important changes tax reform brought to fringe benefits as well as provides an overview of common and some uncommon benefits and the rules governing them. The webinar will also cover “extenders” passed by Congress to reinstate or extend certain benefits that had expired. It is important for employers to “get it right” with regard to whether benefits may be excluded from wages, and if they must be included, comply with federal and state wage and tax withholding, deposit, and reporting requirements.
The session will cover the general rules for fringe benefits including benefits that may be excluded from employee wages as well as benefits that are fully or partially taxable. The rules for exclusion vary for different benefits and even for different taxes with regard to the same benefit. The rules are complex and can be confusing.
For taxable non-cash benefits, valuation can be a complex process and are sometimes subject to special rules. It is also critical to know when to treat a benefit as provided to the employee so that the employer is compliant with tax withholding and deposit requirements
SessionHighlights:
Fringe benefits under a national emergency declaration.
Benefits provisions under COVID-19 relief legislation.
Fringe benefits for which employer expense deductions are limited.
Cafeteria (Section 125) plans and Simple Cafeteria Plans.
Changes to fringe benefit taxation under the TCJA and the impact of those changes.
Fringe benefits that may be excluded from employee wages and the rules for exclusion.
When and how to include the value of taxable fringe benefits in employee compensation.
When and how to compute, withhold, deposit and report taxes for taxable fringe benefits.
Requirements for de minimis fringe benefits and achievement awards rules.
Why an accountable expense reimbursement plan may be more important than ever.
Who Should Attend:
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Payroll Supervisors and Personnel
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HR Supervisors and Personnel
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Public Accountants
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Internal Auditors
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Tax Compliance Officers
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Enrolled Agents
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Employee Benefits Administrators
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Officers and Managers with Tax or Benefits Compliance Oversight
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Company / Business Owners
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Managers/ Supervisors
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Public Agency Managers
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Audit and Compliance Personnel / Risk Managers
*You may ask your Question directly to our expert during the Q&A session.
** You can buy On-Demand and view it at your convenience
Patrick Haggerty
Patrick Haggerty is a tax practitioner, author, and educator. His work experience includes non-profit organization management, banking, manufacturing accounting, and tax practice. He began teaching accounting at the college level in 1988. He is licensed as an Enrolled Agent by the U. S. Treasury to represent taxpayers at all administrative levels of the IRS and is a Certified Management Accountant. He has written numerous articles and a monthly question and answer column for payroll publications. In addition, he regularly develops and presents webinars and presentations on a variety of topics including Payroll tax issues, FLSA compliance, information returns, and accounting.