New Taxable Fringe Benefits Guide for Government Employers
The IRS has issued a January 2008 version of its Taxable Fringe Benefits Guide for government employers. The guide discusses employee fringe benefits related to travel and non-travel issues that are taxable and reportable under the Internal Revenue Code, regulations, and procedures. It also covers withholding and reporting requirements.
Topics in the guide include:
- accountable plans
- awards and prizes
- employer-provided vehicles
- independent contractor expenses
- per diem expenses
- student wages
- travel advances
- travel expense reimbursements
- transportation expense reimbursements
- allowances paid by employers (including uniforms, equipment, mileage and cell phones)
The publication also discusses general procedures for computing the value of fringe benefits, additional federal reporting requirements for certain fringe benefits, and procedures for obtaining answers from the IRS on questions pertaining to the reporting and taxation of fringe benefits.
The guide is 91 pages and can be found on the IRS website, in the Government Entities section, under Tax information for Federal, State, & Local Governments.
IRS Publication 15-B , Employer's Tax Guide to Fringe Benefits, also provides guidance to employers on fringe benefit issues. This publication was also updated in January of 2008. It can be found at the IRS website under Forms and Publications.
To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or tax related matter.