IRS Publication 15B — Employer's Tax Guide to Fringe Benefits
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“S corporation shareholders. Because you can’t treat a 2% shareholder of an S corporation as an em- ployee for this exclusion, you must include the value of ac- cident or health benefits you provide to the employee in the employee’s wages subject to federal income tax with- holding.”
This publication supplements Pub. 15, Employer’s Tax Guide; and Pub. 15 -A, Employer’s Supplemental Tax Guide. It contains information for employers on the employment tax treatment of fringe benefits. Comments and suggestions. We welcome your comments about this publication and your suggestions for future editions. You can send us comments through IRS.gov/ FormComments.
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