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Mark Taylor
Mark Taylor, Certified Public Accountant (CPA)
Category: Tax
Satisfied Customers: 1000
Experience:  Certified Public Accountant
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It is a tax question. I work for a company with 180

Customer Question

it is a tax question. I work for a company with 180 employees and we have an onsite fitness center. all associates are encouraged to attend the fitness center and are rewarded for going. If an associate meets requirements the are given a credit of $50.00 per month toward their health insurance contribution. Since the their contribution the their health insurance premiums are pretax, do i pay tax on that amount? Cheryl
JA: Because employment law varies from place to place, can you tell me what state this is in?
Customer: texas
JA: Has anything been filed or reported?
Customer: i am referring to the $50.00 discount they receive
JA: After your first paid question, we offer a week's free trial membership when you can ask as many questions as you like.
Customer: okay i will sign up
JA: Anything else you want the lawyer to know before I connect you?
Customer: only to find out if i need to pay income tax on the credit amount.
Submitted: 21 days ago.
Category: Tax
Expert:  Mark Taylor replied 21 days ago.

Hi, my name is Mark. I will be happy to help you with your questions. The $50 contributed toward the employee's health insurance premium would be an employee benefit and would not be taxable. It is a deduction for the company any not taxable to the employee.

Expert:  Mark Taylor replied 21 days ago.

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