Nontaxable fringe benefits under IRC Section 132(1)

Nontaxable fringe benefits under IRC Section 132(1) -...

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Nontaxable Fringe Benefits under Internal Revenue Code §132 Exhibit 6-7 Textbook Page 6-30 Type of Benefit Conditions Examples No additional cost service- §132(b) Company incurs no substantial additional cost Service sold in normal cost of business Same-line-of-business limitations Must be nondiscriminatory Airplane Tickets Hotel rooms Telephone services Qualified employee discount §132(c) Offered for sale in normal course of business Same-line-business limitation Merchandise discounts limited to employer’s gross profit Service discounts limited to 20% of normal price Must be nondiscriminatory Not applicable to investment property or real estate Retail items Working condition fringes §132(d) Nontaxable to extent employee would have deducted the cost had he or she paid for the property or service Company car Club memberships Professional dues and subscriptions Seminar expenses Educational expenses De minimus fringes §132(e) Benefits so small that accounting for them is unreasonable or
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This document was uploaded on 11/03/2011 for the course ACCOUNTING 415 at Rutgers.

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Nontaxable fringe benefits under IRC Section 132(1) -...

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