Tag: taxable income

Question: If an employer provides housing for employees, is it considered a benefit and/or income that is to be taxed? Answer: When housing is provided to an employee it is generally considered a fringe benefit that is taxable to the employee, and should be reported on the Form W-2. For nonprofit organizations, however, there may…

Question: How do we explain imputed income to a client who manually does its own payroll? Answer: Imputed income is a monetary value added to the gross income for the purpose of calculating taxes. Imputed income may not be seen on the paycheck as cash but comes in the form of a benefit, such as the value of…