File your Taxes for Free!
  • Get your maximum refund*
  • 100% accurate calculations guaranteed*

TurboTax Federal Free Edition - File Taxes Online

Don't let filing your taxes get you down! We'll help make it as easy as possible. With e-file and direct deposit, there's no faster way to get your refund!

Approved TurboTax Affiliate Site. TurboTax and TurboTax Online, among others, are registered trademarks and/or service marks of Intuit Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.


© 2012 - 2018 All rights reserved.

This is an Approved TurboTax Affiliate site. TurboTax and TurboTax Online, among other are registered trademarks and/or service marks of Intuit, Inc. in the United States and other countries. Other parties' trademarks or service marks are the property of the respective owners.
When discussing "Free e-file", note that state e-file is an additional fee. E-file fees do not apply to New York state returns. Prices are subject to change without notice. E-file and get your refund faster
*If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
*Maximum Refund Guarantee - or Your Money Back: If you get a larger refund or smaller tax due from another tax preparation method, we'll refund the applicable TurboTax federal and/or state purchase price paid. TurboTax Federal Free Edition customers are entitled to payment of $14.99 and a refund of your state purchase price paid. Claims must be submitted within sixty (60) days of your TurboTax filing date and no later than 6/15/14. E-file, Audit Defense, Professional Review, Refund Transfer and technical support fees are excluded. This guarantee cannot be combined with the TurboTax Satisfaction (Easy) Guarantee. *We're so confident your return will be done right, we guarantee it. Accurate calculations guaranteed. If you pay an IRS or state penalty or interest because of a TurboTax calculations error, we'll pay you the penalty and interest.
https://turbotax.intuit.com/corp/guarantees.jsp

Turbo Tax For Military

2010 Form 1040ez1040 FormMilitary Turbo TaxFree Tax E File 2012Amend Tax ReturnsCan I File 1040ez OnlineFiling Taxes 2010 OnlineIrs Ez FormH & R Block Tax ReturnTax Planning Us 1040aHow Do I Do My 2012 TaxesH And R Block2011 10402011 Taxes FileEz TaxFile 2012 Taxes Online FreeWhere Can I File My 2012 TaxesWww H&rblock ComState Tax EHow Much Does It Cost To Amend A Tax ReturnFree Turbo Tax For Low Income1040nr FreeFill Out 1040x Online1040 Ez File OnlineTurbo Tax Ez FormFile Your Taxes OnlineTurbo TaxTax DeadlineUnemployed TaxesTax Ez Form 2011How To Do An Amendment Tax ReturnHelp With 1040xE File State Tax For FreeTurbotax 2008 Free EditionAmmend A Tax ReturnTurbotax 1040x 2012W1040Free File State Tax OnlyFree Tax File 2010Hrblockfreefile

Turbo Tax For Military

Turbo tax for military Index Symbols 10% additional tax, Early Distributions Tax, Age 59½ Rule, Additional 10% tax 2-year rule SIMPLE IRAs, Two-year rule. Turbo tax for military 20% withholding, Other withholding rules. Turbo tax for military 5-year rule, 5-year rule. Turbo tax for military , Death before required beginning date. Turbo tax for military 6% excise tax on excess contributions to Roth IRAs, What if You Contribute Too Much? 60-day period for rollovers, Time Limit for Making a Rollover Contribution A Account balance, IRA account balance. Turbo tax for military Additional taxes, What Acts Result in Penalties or Additional Taxes?, Additional 10% tax (see also Penalties) Reporting, Reporting Additional Taxes Adjusted gross income (AGI), Modified adjusted gross income (AGI). Turbo tax for military , Modified AGI. Turbo tax for military (see also Modified adjusted gross income (AGI)) Retirement savings contributions credit, Adjusted gross income. Turbo tax for military Age 50 Contributions, General Limit Age 59 1/2 rule, Age 59½ Rule Age 70 1/2 rule, Age 70½ rule. Turbo tax for military Required minimum distributions, Distributions after the required beginning date. Turbo tax for military Age limit Traditional IRA, When Can Contributions Be Made? Airline payments, Rollover of Airline Payments Alimony, Alimony and separate maintenance. Turbo tax for military Annuity contracts, Annuity or endowment contracts. Turbo tax for military Borrowing on, Borrowing on an annuity contract. Turbo tax for military Distribution from insurance company, Annuity distributions from an insurance company. Turbo tax for military Distribution from IRA account, Distribution of an annuity contract from your IRA account. Turbo tax for military Early distributions, Annuity. Turbo tax for military Assistance (see Tax help) B Basis Inherited IRAs, IRA with basis. Turbo tax for military Roth IRAs, Basis of distributed property. Turbo tax for military Traditional IRAs, Cost basis. Turbo tax for military Beginning date, required, Distributions after the required beginning date. Turbo tax for military Beneficiaries, IRA Beneficiaries, Death before required beginning date. Turbo tax for military Change of, Change of beneficiary. Turbo tax for military Death of beneficiary, Death of a beneficiary. Turbo tax for military Early distributions to, Beneficiary. Turbo tax for military Individual as, Beneficiary an individual. Turbo tax for military More than one, More than one beneficiary. Turbo tax for military , Multiple individual beneficiaries. Turbo tax for military Not an individual, Beneficiary not an individual. Turbo tax for military Roth IRAs, Distributions to beneficiaries. Turbo tax for military Sole beneficiary spouse more than 10 years younger, Sole beneficiary spouse who is more than 10 years younger. Turbo tax for military Bond purchase plans Rollovers from, Rollover from bond purchase plan. Turbo tax for military Bonds, retirement (see Individual retirement bonds) Broker's commissions, Brokers' commissions. Turbo tax for military , Brokers' commissions. Turbo tax for military C Change in marital status, Change in marital status. Turbo tax for military Change of beneficiary, Change of beneficiary. Turbo tax for military Charitable distributions, qualified, Qualified charitable distributions. Turbo tax for military Collectibles, Investment in Collectibles, Collectibles. Turbo tax for military Community property, Community property laws. Turbo tax for military Compensation Alimony, Alimony and separate maintenance. Turbo tax for military Defined, What Is Compensation? Nontaxable combat pay, Nontaxable combat pay. Turbo tax for military Self-employment, Self-employment loss. Turbo tax for military Wages, salaries, etc. Turbo tax for military , Wages, salaries, etc. Turbo tax for military Conduit IRAs, IRA as a holding account (conduit IRA) for rollovers to other eligible plans. Turbo tax for military Contribution limits More than one IRA, More than one IRA. Turbo tax for military Contributions Designating the year, Designating year for which contribution is made. Turbo tax for military Distributions in same year as, Both contributions for 2013 and distributions in 2013. Turbo tax for military Excess (see Excess contributions) Less than maximum, Less Than Maximum Contributions Matching (SIMPLE), Matching contributions. Turbo tax for military Nondeductible (see Nondeductible contributions) Not required, Contributions not required. Turbo tax for military Qualified reservist repayments, Qualified reservist repayments. Turbo tax for military Recharacterizing (see Recharacterization) Retirement savings contributions credit, Eligible contributions. Turbo tax for military Roth IRAs, Can You Contribute to a Roth IRA?, Applying excess contributions. Turbo tax for military SIMPLE plans, How Are Contributions Made?, How Much Can Be Contributed on Your Behalf? Traditional IRAs, How Much Can Be Contributed?, More Than Maximum Contributions When to contribute, When Can Contributions Be Made? Withdrawing before due date of return, Contributions Returned Before Due Date of Return Conversions From SIMPLE IRAs, Converting from a SIMPLE IRA. Turbo tax for military To Roth IRAs, Conversions Credits Retirement savings contributions credit, Retirement Savings Contributions Credit (Saver's Credit), How to figure and report the credit. Turbo tax for military D Death of beneficiary, Death of a beneficiary. Turbo tax for military Deductions Figuring reduced IRA deduction, How To Figure Your Reduced IRA Deduction Phaseout, Deduction Phaseout Traditional IRAs, How Much Can You Deduct?, Examples — Worksheet for Reduced IRA Deduction for 2013 Deemed IRAs, Reminders, Reminders Defined benefit plans, Defined benefit plan. Turbo tax for military Defined contribution plans, Defined contribution plan. Turbo tax for military Disabilities, persons with Early distributions to, Disabled. Turbo tax for military Distributions After required beginning date, Distributions after the required beginning date. Turbo tax for military Age 59 1/2 rule, Age 59½ Rule Beneficiaries (see Beneficiaries) Contributions in same year as, Both contributions for 2013 and distributions in 2013. Turbo tax for military Delivered outside U. Turbo tax for military S. Turbo tax for military , IRA distributions delivered outside the United States. Turbo tax for military Figuring nontaxable and taxable amounts, Figuring the Nontaxable and Taxable Amounts From individual retirement accounts, Distributions from individual retirement account. Turbo tax for military From individual retirement annuities, Distributions from individual retirement annuities. Turbo tax for military Fully or partly taxable, Distributions Fully or Partly Taxable Income from, Income from IRA distributions. Turbo tax for military Inherited IRAs (see Inherited IRAs) Insufficient, Excess Accumulations (Insufficient Distributions) Qualified charitable, Qualified charitable distributions. Turbo tax for military Qualified HSA funding, One-time qualified HSA funding distribution. Turbo tax for military Qualified reservist, Qualified reservist distributions. Turbo tax for military Roth IRAs, Are Distributions Taxable?, How Do You Figure the Taxable Part? Ordering rules for, Ordering Rules for Distributions Recapture amount, Figuring your recapture amount. Turbo tax for military SIMPLE IRAs, Are Distributions Taxable? Taxable status of, Are Distributions Taxable? Divorce Rollovers by former spouse, Distributions under divorce or similar proceedings (alternate payees). Turbo tax for military Transfers incident to, Transfers Incident To Divorce E Early distributions, What Acts Result in Penalties or Additional Taxes?, Early Distributions, Nondeductible contributions. Turbo tax for military (see also Penalties) Age 59 1/2 rule, Age 59½ Rule Defined, Early distributions defined. Turbo tax for military Disability exception, Disabled. Turbo tax for military First-time homebuyers, exception, First home. Turbo tax for military Higher education expenses, exception, Higher education expenses. Turbo tax for military Medical insurance, exception, Medical insurance. Turbo tax for military Roth IRAs, Additional Tax on Early Distributions SIMPLE IRAs, Additional Tax on Early Distributions Tax, Early Distributions Tax Unreimbursed medical expenses, exception, Unreimbursed medical expenses. Turbo tax for military Education expenses, Higher education expenses. Turbo tax for military Employer and employee association trust accounts, Employer and Employee Association Trust Accounts Employer plans Covered by, Covered by an employer retirement plan. Turbo tax for military Year(s) covered, For Which Year(s) Are You Covered? Employer retirement plans, Are You Covered by an Employer Plan? Defined benefit plans, Defined benefit plan. Turbo tax for military Defined contribution plans, Defined contribution plan. Turbo tax for military Effect of modified AGI on deduction (Table 1-2), Table 1-2. Turbo tax for military Effect of Modified AGI1 on Deduction if You Are Covered by a Retirement Plan at Work Limit if covered by, Limit if Covered by Employer Plan Prohibited transactions, Trust account set up by an employer or an employee association. Turbo tax for military Endowment contracts (see Annuity contracts) Estate tax, Estate tax. Turbo tax for military Deduction for inherited IRAs, Federal estate tax deduction. Turbo tax for military Excess accumulations, Excess Accumulations (Insufficient Distributions), Make up of shortfall in distribution. Turbo tax for military Roth IRAs, Distributions After Owner's Death Excess contributions, Excess Contributions Closed tax year, Closed tax year. Turbo tax for military Deducted in earlier year, Excess contribution deducted in an earlier year. Turbo tax for military Deducting in a later year, Deducting an Excess Contribution in a Later Year Due to incorrect rollover information, Excess due to incorrect rollover information. Turbo tax for military Recharacterizing, Recharacterizing excess contributions. Turbo tax for military Roth IRAs, What if You Contribute Too Much? Tax, Excess Contributions Tax Withdrawn after due date of return, Excess Contributions Withdrawn After Due Date of Return Withdrawn by due date of return, Excess Contributions Withdrawn by Due Date of Return Exempt transactions, Exempt Transactions Exxon Valdez settlement income, Rollover of Exxon Valdez Settlement Income , Rollover of Exxon Valdez Settlement Income F Failed financial institutions, Failed financial institutions. Turbo tax for military Federal judges, Federal judges. Turbo tax for military Fiduciaries Prohibited transactions, Fiduciary. Turbo tax for military Filing before IRA contribution is made, Filing before a contribution is made. Turbo tax for military Filing status, Filing Status Deduction phaseout and, Filing status. Turbo tax for military Firefighters, volunteer, Volunteer firefighters. Turbo tax for military First-time homebuyers, First home. Turbo tax for military Five-year rule (see 5-year rule) Form 1040 Modified AGI calculation from, Form 1040. Turbo tax for military , Form 1040NR. Turbo tax for military Form 1040A Modified AGI calculation from, Form 1040A. Turbo tax for military Form 1099-R, Reporting and Withholding Requirements for Taxable Amounts Distribution code 1 used on, Form 5329 not required. Turbo tax for military Letter codes used on, Letter codes. Turbo tax for military Number codes used on, Number codes. Turbo tax for military Withdrawal of excess contribution, Form 1099-R. Turbo tax for military Form 5329, Additional 10% tax, Reporting the tax. Turbo tax for military , Reporting Additional Taxes Recapture tax, Recapture tax for changes in distribution method under equal payment exception. Turbo tax for military Form 8606, Form 8606. Turbo tax for military , Form 8606. Turbo tax for military , Reporting your nontaxable distribution on Form 8606. Turbo tax for military , Figuring the Nontaxable and Taxable Amounts Failure to file, penalty, Penalty for failure to file Form 8606. Turbo tax for military Form 8880, How to figure and report the credit. Turbo tax for military Form W-2 Employer retirement plans, Are You Covered by an Employer Plan? Free tax services, Free help with your tax return. Turbo tax for military Frozen deposits, Frozen deposit. Turbo tax for military Full-time student Retirement savings contributions credit, Full-time student. Turbo tax for military H Help (see Tax help) Higher education expenses, Higher education expenses. Turbo tax for military How to Set up an IRA, How Can a Traditional IRA Be Opened? Treat withdrawn contributions, How to treat withdrawn contributions. Turbo tax for military HSA funding distributions, qualified, One-time qualified HSA funding distribution. Turbo tax for military I Individual retirement accounts, Individual Retirement Account Distributions from, Distributions from individual retirement account. Turbo tax for military Individual retirement annuities, Individual Retirement Annuity Distributions from, Distributions from individual retirement annuities. Turbo tax for military Individual retirement arrangements (IRAs) How to set up, How Can a Traditional IRA Be Opened? When to set up, When Can a Traditional IRA Be Opened? Individual retirement bonds, Individual Retirement Bonds Cashing in, Cashing in retirement bonds. Turbo tax for military Inherited IRAs, What if You Inherit an IRA?, More information. Turbo tax for military Rollovers, Inherited IRAs. Turbo tax for military Insufficient distributions, Excess Accumulations (Insufficient Distributions) Interest on IRA, Reminders Investment in collectibles Collectibles defined, Collectibles. Turbo tax for military Exception, Exception. Turbo tax for military K Kay Bailey Hutchison Spousal IRAs Contribution limits, Kay Bailey Hutchison Spousal IRA Limit Deductions, Kay Bailey Hutchison Spousal IRA. Turbo tax for military Roth IRA contribution limits, Can you contribute to a Roth IRA for your spouse? Keogh plans Rollovers from, Keogh plans and rollovers. Turbo tax for military L Last-in first-out rule, Last-in first-out rule. Turbo tax for military Life expectancy, Life expectancy. Turbo tax for military Life insurance, Life insurance contract. Turbo tax for military Losses Roth IRAs, Recognizing Losses on Investments Traditional IRAs, Recognizing Losses on Traditional IRA Investments M Marital status, change in, Change in marital status. Turbo tax for military Matching contributions (SIMPLE), Matching contributions. Turbo tax for military Medical expenses, unreimbursed, Unreimbursed medical expenses. Turbo tax for military Medical insurance, Medical insurance. Turbo tax for military Military death gratuities, Military Death Gratuities and Servicemembers' Group Life Insurance (SGLI) Payments Minimum distribution (see Required minimum distribution) Missing children, photographs of, Reminders Modified adjusted gross income (AGI) Employer retirement plan coverage and deduction (Table 1-2), Table 1-2. Turbo tax for military Effect of Modified AGI1 on Deduction if You Are Covered by a Retirement Plan at Work Figuring (Worksheet 1-1), Worksheet 1-1. Turbo tax for military Figuring Your Modified AGI No employer retirement plan coverage and deduction (Table 1-3), Table 1-3. Turbo tax for military Effect of Modified AGI1 on Deduction if You Are NOT Covered by a Retirement Plan at Work Roth IRAs, Modified AGI. Turbo tax for military Effect on contribution amount (Table 2-1), Table 2-1. Turbo tax for military Effect of Modified AGI on Roth IRA Contribution More than one beneficiary, More than one beneficiary. Turbo tax for military More than one IRA, More than one IRA. Turbo tax for military Recharacterization, More than one IRA. Turbo tax for military Required minimum distribution, More than one IRA. Turbo tax for military N Nondeductible contributions, Nondeductible Contributions, Nondeductible contributions. Turbo tax for military Failure to report, Failure to report nondeductible contributions. Turbo tax for military Overstatement penalty, Penalty for overstatement. Turbo tax for military Notice Qualified employer plan to provide prior to rollover distribution, Written explanation to recipients. Turbo tax for military Rollovers, Rollover notice. Turbo tax for military P Partial rollovers, Partial rollovers. Turbo tax for military , Partial rollover. Turbo tax for military Penalties, What Acts Result in Penalties or Additional Taxes?, Form 5329 not required. Turbo tax for military Early distributions, Early Distributions, Nondeductible contributions. Turbo tax for military Excess accumulations, Excess Accumulations (Insufficient Distributions), Make up of shortfall in distribution. Turbo tax for military Excess contributions, Excess Contributions Roth IRAs, What if You Contribute Too Much? Exempt transactions, Exempt Transactions, Services received at reduced or no cost. Turbo tax for military Failure to file Form 8606, Penalty for failure to file Form 8606. Turbo tax for military Overstatement of nondeductible contributions, Penalty for overstatement. Turbo tax for military Prohibited transactions, Prohibited Transactions, Services received at reduced or no cost. Turbo tax for military Reporting, Reporting Additional Taxes SIMPLE IRAs, Additional Tax on Early Distributions Phaseout of deduction, Deduction Phaseout Pledging account as security, Pledging an account as security. Turbo tax for military Prohibited transactions, Prohibited Transactions, Services received at reduced or no cost. Turbo tax for military Taxes on, Taxes on prohibited transactions. Turbo tax for military Publications (see Tax help) Q Qualified charitable distributions, Qualified charitable distributions. Turbo tax for military Qualified domestic relations orders (QDROs), Qualified domestic relations order. Turbo tax for military Qualified settlement income, Rollover of Exxon Valdez Settlement Income , Rollover of Exxon Valdez Settlement Income R Recapture tax Changes in distribution method, Recapture tax for changes in distribution method under equal payment exception. Turbo tax for military Receivership distributions, Receivership distributions. Turbo tax for military Recharacterization, Recharacterizations, More than one IRA. Turbo tax for military Determining amount of net income due to contribution and total amount to be recharacterized (Worksheet 1-3), Worksheet 1-3. Turbo tax for military Determining the Amount of Net Income Due To an IRA Contribution and Total Amount To Be Recharacterized Reporting, Reporting a Recharacterization SIMPLE employer contributions, Recharacterizing employer contributions. Turbo tax for military Timing of, Timing. Turbo tax for military Reconversion, Reconversions Recordkeeping requirements Traditional IRAs, Nondeductible Contributions Reporting Additional taxes, Reporting Additional Taxes Deductible contributions, Reporting Deductible Contributions Nontaxable distribution on Form 8606, Reporting your nontaxable distribution on Form 8606. Turbo tax for military Recharacterization, Reporting a Recharacterization Rollovers From employer plans, Reporting rollovers from employer plans. Turbo tax for military From IRAs, Reporting rollovers from IRAs. Turbo tax for military Taxable amounts, Reporting and Withholding Requirements for Taxable Amounts Taxable distributions, Reporting taxable distributions on your return. Turbo tax for military Required beginning date, Distributions after the required beginning date. Turbo tax for military Required minimum distribution, Reminders, When Must You Withdraw Assets? (Required Minimum Distributions), Annuity distributions from an insurance company. Turbo tax for military Distribution period, Distribution period. Turbo tax for military During lifetime, Distributions during your lifetime. Turbo tax for military Figuring, Figuring the Owner's Required Minimum Distribution For beneficiary, Figuring the Beneficiary's Required Minimum Distribution Table to use, Which Table Do You Use To Determine Your Required Minimum Distribution? In year of owner's death, Distributions in the year of the owner's death. Turbo tax for military Installments allowed, Installments allowed. Turbo tax for military More than one IRA, More than one IRA. Turbo tax for military Sole beneficiary spouse who is more than 10 years younger, Sole beneficiary spouse who is more than 10 years younger. Turbo tax for military Reservists, Reservists. Turbo tax for military Qualified reservist distribution, Qualified reservist distributions. Turbo tax for military Qualified reservist repayments, Qualified reservist repayments. Turbo tax for military Retirement bonds (see Individual retirement bonds) Retirement savings contributions credit, Retirement Savings Contributions Credit (Saver's Credit), How to figure and report the credit. Turbo tax for military Rollovers, Rollovers, Reporting rollovers from employer plans. Turbo tax for military Airline payments, Rollover of Airline Payments Amount, Amount. Turbo tax for military Choosing an option (Table 1-5), Table 1-5. Turbo tax for military Comparison of Payment to You Versus Direct Rollover Completed after 60-day period, Rollovers completed after the 60-day period. Turbo tax for military Conduit IRAs, IRA as a holding account (conduit IRA) for rollovers to other eligible plans. Turbo tax for military Direct rollover option, Direct rollover option. Turbo tax for military Extension of period, Extension of rollover period. Turbo tax for military From bond purchase plan, Rollover from bond purchase plan. Turbo tax for military From employer's plan into a Roth IRA, Rollover From Employer's Plan Into a Roth IRA From employer's plan into an IRA, Rollover From Employer's Plan Into an IRA From Keogh plans, Keogh plans and rollovers. Turbo tax for military From one IRA into another, Rollover From One IRA Into Another From Roth IRAs, Rollover From a Roth IRA From traditional IRA, Kinds of rollovers from a traditional IRA. Turbo tax for military Inherited IRAs, Inherited IRAs. Turbo tax for military Nonspouse beneficiary, Rollover by nonspouse beneficiary. Turbo tax for military Notice, Rollover notice. Turbo tax for military Partial, Partial rollovers. Turbo tax for military , Partial rollover. Turbo tax for military SIMPLE IRAs, Rollovers and Transfers Exception Tax treatment of rollover from traditional IRA to eligible retirement plan other than an IRA, Tax treatment of a rollover from a traditional IRA to an eligible retirement plan other than an IRA. Turbo tax for military Time limit, Time Limit for Making a Rollover Contribution To Roth IRAs, Conversion methods. Turbo tax for military To traditional IRA, Kinds of rollovers to a traditional IRA. Turbo tax for military Waiting period between, Waiting period between rollovers. Turbo tax for military , No waiting period between rollovers. Turbo tax for military Withholding (see Withholding) Roth IRAs, Roth IRAs, Distributions After Owner's Death Age limit, Is there an age limit for contributions? Contribution limit reduced, Contribution limit reduced. Turbo tax for military Contributions, Can You Contribute to a Roth IRA?, Applying excess contributions. Turbo tax for military Timing of, When Can You Make Contributions? To traditional IRAs and to Roth IRAs, Roth IRAs and traditional IRAs. Turbo tax for military Conversion, Converting From Any Traditional IRA Into a Roth IRA, Conversion by rollover from traditional to Roth IRA. Turbo tax for military , Recharacterizing to a SEP IRA or SIMPLE IRA. Turbo tax for military , Conversions Defined, What Is a Roth IRA? Distributions, Are Distributions Taxable?, How Do You Figure the Taxable Part? After death of owner, Distributions After Owner's Death Insufficient, Distributions After Owner's Death Ordering rules for, Ordering Rules for Distributions Early distributions, Additional Tax on Early Distributions Excess accumulations, Distributions After Owner's Death Excess contributions, What if You Contribute Too Much? Figuring taxable part, How Do You Figure the Taxable Part? Losses, Recognizing Losses on Investments Modified AGI Effect on contribution amount (Table 2-1), Table 2-1. Turbo tax for military Effect of Modified AGI on Roth IRA Contribution Figuring (Worksheet 2-1), Worksheet 2-1. Turbo tax for military Modified Adjusted Gross Income for Roth IRA Purposes Rollovers from, Rollover From a Roth IRA Setting up, When Can a Roth IRA Be Opened? Spouse, Can you contribute to a Roth IRA for your spouse? Traditional IRAs converted into, Converting From Any Traditional IRA Into a Roth IRA Withdrawing or using assets, Must You Withdraw or Use Assets? S Salary reduction arrangement, What Is a SIMPLE Plan? Savings Incentive Match Plans for Employees (see SIMPLE IRAs) Section 501(c)(18) plan, General Limit, Kay Bailey Hutchison Spousal IRA Limit Self-employed persons Deductible contributions, Self-employed. Turbo tax for military Income of, Self-employment income. Turbo tax for military SIMPLE plans, Self-employed individual. Turbo tax for military SEP IRAs Recharacterizing to, Recharacterizing to a SEP IRA or SIMPLE IRA. Turbo tax for military Separated taxpayers Filing status of, Lived apart from spouse. Turbo tax for military Servicemembers group life insurance, Military Death Gratuities and Servicemembers' Group Life Insurance (SGLI) Payments Services received at reduced or no cost, Services received at reduced or no cost. Turbo tax for military SIMPLE IRAs, Savings Incentive Match Plans for Employees (SIMPLE), Two-year rule. Turbo tax for military Contributions, How Are Contributions Made?, How Much Can Be Contributed on Your Behalf? Conversion from, Converting from a SIMPLE IRA. Turbo tax for military Distributions, Are Distributions Taxable? Early distributions, , Additional Tax on Early Distributions Eligible employees, Eligible Employees Penalties, Additional Tax on Early Distributions Recharacterizing to, Recharacterizing to a SEP IRA or SIMPLE IRA. Turbo tax for military Rollovers, Rollovers and Transfers Exception Salary reduction contribution limits, Salary reduction contributions limit. Turbo tax for military Self-employed persons, Self-employed individual. Turbo tax for military SIMPLE plan, defined, What Is a SIMPLE Plan? Traditional IRA, mistakenly moved to, Traditional IRA mistakenly moved to SIMPLE IRA. Turbo tax for military , Traditional IRA mistakenly moved to SIMPLE IRA. Turbo tax for military Two-year rule, Two-year rule. Turbo tax for military Withdrawing or using assets, When Can You Withdraw or Use Assets? Simplified employee pensions (SEPs), Simplified Employee Pension (SEP) Social Security recipients, Social Security Recipients Spousal IRAs (see Kay Bailey Hutchison Spousal IRAs or Inherited IRAs) Students Education expenses, Higher education expenses. Turbo tax for military Retirement savings contributions credit, Full-time student. Turbo tax for military Surviving spouse, Surviving spouse. Turbo tax for military , Surviving spouse. Turbo tax for military Rollovers by, Distributions received by a surviving spouse. Turbo tax for military T Tables Modified AGI Employer retirement plan coverage and deduction (Table 1-2), Table 1-2. Turbo tax for military Effect of Modified AGI1 on Deduction if You Are Covered by a Retirement Plan at Work No employer retirement plan coverage and deduction (Table 1-3), Table 1-3. Turbo tax for military Effect of Modified AGI1 on Deduction if You Are NOT Covered by a Retirement Plan at Work Roth IRAs, effect on contribution (Table 2-1), Table 2-1. Turbo tax for military Effect of Modified AGI on Roth IRA Contribution Rollover vs. Turbo tax for military direct payment to taxpayer (Table 1-5), Table 1-5. Turbo tax for military Comparison of Payment to You Versus Direct Rollover Using this publication (Table I-1), Table I-1. Turbo tax for military Using This Publication Tax advantages of IRAs, What are some tax advantages of an IRA? Tax credits Retirement savings contributions credit, Retirement Savings Contributions Credit (Saver's Credit), How to figure and report the credit. Turbo tax for military Tax help, How To Get Tax Help Tax year, Tax year. Turbo tax for military Tax-sheltered annuities Rollovers from, Distribution from a tax-sheltered annuity. Turbo tax for military Traditional IRAs, Traditional IRAs, Form 5329 not required. Turbo tax for military Age 59 1/2 rule, Age 59½ Rule Contribution limits, How Much Can Be Contributed?, More Than Maximum Contributions Contributions, How Much Can Be Contributed?, More Than Maximum Contributions Due date, Contributions must be made by due date. Turbo tax for military To Roth IRAs and to traditional IRAs, Roth IRAs and traditional IRAs. Turbo tax for military Converting into Roth IRA, Converting From Any Traditional IRA Into a Roth IRA Cost basis, Cost basis. Turbo tax for military Deductions, How Much Can You Deduct?, Examples — Worksheet for Reduced IRA Deduction for 2013 Defined, Introduction Disclosures, Required Disclosures Excess contributions, Excess Contributions Inherited IRAs, What if You Inherit an IRA?, More information. Turbo tax for military Loss of IRA status, Loss of IRA status. Turbo tax for military Losses, Recognizing Losses on Traditional IRA Investments Mistakenly moved to SIMPLE IRA, Traditional IRA mistakenly moved to SIMPLE IRA. Turbo tax for military , Traditional IRA mistakenly moved to SIMPLE IRA. Turbo tax for military Recordkeeping, Nondeductible Contributions Reduced IRA deduction for 2013, Examples — Worksheet for Reduced IRA Deduction for 2013 Rollovers (see Rollovers) Setting up, Who Can Open a Traditional IRA?, Required Disclosures Social Security recipients, Social Security Recipients Transfers, Can You Move Retirement Plan Assets? Types of, Kinds of traditional IRAs. Turbo tax for military Withdrawing or using assets, When Can You Withdraw or Use Assets?, Excess Contributions Tax Transfers, Can You Move Retirement Plan Assets? Divorce, Transfers Incident To Divorce To Roth IRAs, Transfers to Roth IRAs. Turbo tax for military , Can You Move Amounts Into a Roth IRA? Trustee to trustee, Trustee-to-Trustee Transfer, Conversion methods. Turbo tax for military Trustee-to-trustee transfers, Trustee-to-Trustee Transfer To Roth IRAs, Conversion methods. Turbo tax for military Trustees' fees, Trustees' fees. Turbo tax for military , Trustees' fees. Turbo tax for military Trusts As beneficiary, Trust as beneficiary. Turbo tax for military TTY/TDD information, How To Get Tax Help Two-year rule SIMPLE IRAs, Two-year rule. Turbo tax for military U Unreimbursed medical expenses, Unreimbursed medical expenses. Turbo tax for military V Volunteer firefighters, Volunteer firefighters. Turbo tax for military W Withdrawing or using assets Contribution withdrawal, before due date of return, Contributions Returned Before Due Date of Return Roth IRAs, Must You Withdraw or Use Assets? SIMPLE IRAs, When Can You Withdraw or Use Assets? Traditional IRAs, When Can You Withdraw or Use Assets?, Excess Contributions Tax Withholding, Reporting and Withholding Requirements for Taxable Amounts, Withholding. Turbo tax for military Direct rollover option, Withholding. Turbo tax for military Eligible rollover distribution paid to taxpayer, Withholding requirement. Turbo tax for military Worksheets Figuring amount of net income due to IRA contribution and total amount to be recharacterized (Worksheet 1-3), Worksheet 1-3. Turbo tax for military Determining the Amount of Net Income Due To an IRA Contribution and Total Amount To Be Recharacterized Figuring modified AGI (Worksheet 1-1), Worksheet 1-1. Turbo tax for military Figuring Your Modified AGI Roth IRAs Figuring modified AGI (Worksheet 2-1), Worksheet 2-1. Turbo tax for military Modified Adjusted Gross Income for Roth IRA Purposes Prev  Up     Home   More Online Publications
Español

Art and Architecture

Explore architecture, art history, grants, kids' websites, and more.

The Turbo Tax For Military

Turbo tax for military Publication 15-B - Main Content Table of Contents 1. Turbo tax for military Fringe Benefit OverviewAre Fringe Benefits Taxable? Cafeteria Plans Simple Cafeteria Plans 2. Turbo tax for military Fringe Benefit Exclusion RulesAccident and Health Benefits Achievement Awards Adoption Assistance Athletic Facilities De Minimis (Minimal) Benefits Dependent Care Assistance Educational Assistance Employee Discounts Employee Stock Options Employer-Provided Cell Phones Group-Term Life Insurance Coverage Health Savings Accounts Lodging on Your Business Premises Meals Moving Expense Reimbursements No-Additional-Cost Services Retirement Planning Services Transportation (Commuting) Benefits Tuition Reduction Working Condition Benefits 3. Turbo tax for military Fringe Benefit Valuation RulesGeneral Valuation Rule Cents-Per-Mile Rule Commuting Rule Lease Value Rule Unsafe Conditions Commuting Rule 4. Turbo tax for military Rules for Withholding, Depositing, and ReportingTransfer of property. Turbo tax for military Amount of deposit. Turbo tax for military Limitation. Turbo tax for military Conformity rules. Turbo tax for military Election not to withhold income tax. Turbo tax for military How To Get Tax Help 1. Turbo tax for military Fringe Benefit Overview A fringe benefit is a form of pay for the performance of services. Turbo tax for military For example, you provide an employee with a fringe benefit when you allow the employee to use a business vehicle to commute to and from work. Turbo tax for military Performance of services. Turbo tax for military   A person who performs services for you does not have to be your employee. Turbo tax for military A person may perform services for you as an independent contractor, partner, or director. Turbo tax for military Also, for fringe benefit purposes, treat a person who agrees not to perform services (such as under a covenant not to compete) as performing services. Turbo tax for military Provider of benefit. Turbo tax for military   You are the provider of a fringe benefit if it is provided for services performed for you. Turbo tax for military You are considered the provider of a fringe benefit even if a third party, such as your client or customer, provides the benefit to your employee for services the employee performs for you. Turbo tax for military For example, if, in exchange for goods or services, your customer provides day care services as a fringe benefit to your employees for services they provide for you as their employer, then you are the provider of this fringe benefit even though the customer is actually providing the day care. Turbo tax for military Recipient of benefit. Turbo tax for military   The person who performs services for you is considered the recipient of a fringe benefit provided for those services. Turbo tax for military That person may be considered the recipient even if the benefit is provided to someone who did not perform services for you. Turbo tax for military For example, your employee may be the recipient of a fringe benefit you provide to a member of the employee's family. Turbo tax for military Are Fringe Benefits Taxable? Any fringe benefit you provide is taxable and must be included in the recipient's pay unless the law specifically excludes it. Turbo tax for military Section 2 discusses the exclusions that apply to certain fringe benefits. Turbo tax for military Any benefit not excluded under the rules discussed in section 2 is taxable. Turbo tax for military Including taxable benefits in pay. Turbo tax for military   You must include in a recipient's pay the amount by which the value of a fringe benefit is more than the sum of the following amounts. Turbo tax for military Any amount the law excludes from pay. Turbo tax for military Any amount the recipient paid for the benefit. Turbo tax for military The rules used to determine the value of a fringe benefit are discussed in section 3. Turbo tax for military   If the recipient of a taxable fringe benefit is your employee, the benefit is subject to employment taxes and must be reported on Form W-2, Wage and Tax Statement. Turbo tax for military However, you can use special rules to withhold, deposit, and report the employment taxes. Turbo tax for military These rules are discussed in section 4. Turbo tax for military   If the recipient of a taxable fringe benefit is not your employee, the benefit is not subject to employment taxes. Turbo tax for military However, you may have to report the benefit on one of the following information returns. Turbo tax for military If the recipient receives the benefit as: Use: An independent contractor Form 1099-MISC, Miscellaneous Income A partner Schedule K-1 (Form 1065), Partner's Share of Income, Deductions, Credits, etc. Turbo tax for military For more information, see the instructions for the forms listed above. Turbo tax for military Cafeteria Plans A cafeteria plan, including a flexible spending arrangement, is a written plan that allows your employees to choose between receiving cash or taxable benefits instead of certain qualified benefits for which the law provides an exclusion from wages. Turbo tax for military If an employee chooses to receive a qualified benefit under the plan, the fact that the employee could have received cash or a taxable benefit instead will not make the qualified benefit taxable. Turbo tax for military Generally, a cafeteria plan does not include any plan that offers a benefit that defers pay. Turbo tax for military However, a cafeteria plan can include a qualified 401(k) plan as a benefit. Turbo tax for military Also, certain life insurance plans maintained by educational institutions can be offered as a benefit even though they defer pay. Turbo tax for military Qualified benefits. Turbo tax for military   A cafeteria plan can include the following benefits discussed in section 2. Turbo tax for military Accident and health benefits (but not Archer medical savings accounts (Archer MSAs) or long-term care insurance). Turbo tax for military Adoption assistance. Turbo tax for military Dependent care assistance. Turbo tax for military Group-term life insurance coverage (including costs that cannot be excluded from wages). Turbo tax for military Health savings accounts (HSAs). Turbo tax for military Distributions from an HSA may be used to pay eligible long-term care insurance premiums or qualified long-term care services. Turbo tax for military Benefits not allowed. Turbo tax for military   A cafeteria plan cannot include the following benefits discussed in section 2. Turbo tax for military Archer MSAs. Turbo tax for military See Accident and Health Benefits in section 2. Turbo tax for military Athletic facilities. Turbo tax for military De minimis (minimal) benefits. Turbo tax for military Educational assistance. Turbo tax for military Employee discounts. Turbo tax for military Employer-provided cell phones. Turbo tax for military Lodging on your business premises. Turbo tax for military Meals. Turbo tax for military Moving expense reimbursements. Turbo tax for military No-additional-cost services. Turbo tax for military Transportation (commuting) benefits. Turbo tax for military Tuition reduction. Turbo tax for military Working condition benefits. Turbo tax for military It also cannot include scholarships or fellowships (discussed in Publication 970, Tax Benefits for Education). Turbo tax for military $2,500 limit on a health flexible spending arrangement (FSA). Turbo tax for military   For plan years beginning after December 31, 2012, a cafeteria plan may not allow an employee to request salary reduction contributions for a health FSA in excess of $2,500. Turbo tax for military For plan years beginning after December 31, 2013, the limit is unchanged at $2,500. Turbo tax for military   A cafeteria plan offering a health FSA must be amended to specify the $2,500 limit (or any lower limit set by the employer). Turbo tax for military While cafeteria plans generally must be amended on a prospective basis, an amendment that is adopted on or before December 31, 2014, may be made effective retroactively, provided that in operation the cafeteria plan meets the limit for plan years beginning after December 31, 2012. Turbo tax for military A cafeteria plan that does not limit health FSA contributions to the dollar limit is not a cafeteria plan and all benefits offered under the plan are includible in the employee's gross income. Turbo tax for military   For more information, see Notice 2012-40, 2012-26 I. Turbo tax for military R. Turbo tax for military B. Turbo tax for military 1046, available at www. Turbo tax for military irs. Turbo tax for military gov/irb/2012-26_IRB/ar09. Turbo tax for military html. Turbo tax for military Employee. Turbo tax for military   For these plans, treat the following individuals as employees. Turbo tax for military A current common-law employee. Turbo tax for military See section 2 in Publication 15 (Circular E) for more information. Turbo tax for military A full-time life insurance agent who is a current statutory employee. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military Exception for S corporation shareholders. Turbo tax for military   Do not treat a 2% shareholder of an S corporation as an employee of the corporation for this purpose. Turbo tax for military A 2% shareholder for this purpose is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, but do not treat the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military Plans that favor highly compensated employees. Turbo tax for military   If your plan favors highly compensated employees as to eligibility to participate, contributions, or benefits, you must include in their wages the value of taxable benefits they could have selected. Turbo tax for military A plan you maintain under a collective bargaining agreement does not favor highly compensated employees. Turbo tax for military   A highly compensated employee for this purpose is any of the following employees. Turbo tax for military An officer. Turbo tax for military A shareholder who owns more than 5% of the voting power or value of all classes of the employer's stock. Turbo tax for military An employee who is highly compensated based on the facts and circumstances. Turbo tax for military A spouse or dependent of a person described in (1), (2), or (3). Turbo tax for military Plans that favor key employees. Turbo tax for military   If your plan favors key employees, you must include in their wages the value of taxable benefits they could have selected. Turbo tax for military A plan favors key employees if more than 25% of the total of the nontaxable benefits you provide for all employees under the plan go to key employees. Turbo tax for military However, a plan you maintain under a collective bargaining agreement does not favor key employees. Turbo tax for military   A key employee during 2014 is generally an employee who is either of the following. Turbo tax for military An officer having annual pay of more than $170,000. Turbo tax for military An employee who for 2014 is either of the following. Turbo tax for military A 5% owner of your business. Turbo tax for military A 1% owner of your business whose annual pay was more than $150,000. Turbo tax for military Simple Cafeteria Plans Eligible employers meeting contribution requirements and eligibility and participation requirements can establish a simple cafeteria plan. Turbo tax for military Simple cafeteria plans are treated as meeting the nondiscrimination requirements of a cafeteria plan and certain benefits under a cafeteria plan. Turbo tax for military Eligible employer. Turbo tax for military   You are an eligible employer if you employ an average of 100 or fewer employees during either of the 2 preceding years. Turbo tax for military If your business was not in existence throughout the preceding year, you are eligible if you reasonably expect to employ an average of 100 or fewer employees in the current year. Turbo tax for military If you establish a simple cafeteria plan in a year that you employ an average of 100 or fewer employees, you are considered an eligible employer for any subsequent year as long as you do not employ an average of 200 or more employees in a subsequent year. Turbo tax for military Eligibility and participation requirements. Turbo tax for military   These requirements are met if all employees who had at least 1,000 hours of service for the preceding plan year are eligible to participate and each employee eligible to participate in the plan may elect any benefit available under the plan. Turbo tax for military You may elect to exclude from the plan employees who: Are under age 21 before the close of the plan year, Have less than 1 year of service with you as of any day during the plan year, Are covered under a collective bargaining agreement, or Are nonresident aliens working outside the United States whose income did not come from a U. Turbo tax for military S. Turbo tax for military source. Turbo tax for military Contribution requirements. Turbo tax for military   You must make a contribution to provide qualified benefits on behalf of each qualified employee in an amount equal to: A uniform percentage (not less than 2%) of the employee’s compensation for the plan year, or An amount which is at least 6% of the employee’s compensation for the plan year or twice the amount of the salary reduction contributions of each qualified employee, whichever is less. Turbo tax for military If the contribution requirements are met using option (2), the rate of contribution to any salary reduction contribution of a highly compensated or key employee can not be greater than the rate of contribution to any other employee. Turbo tax for military More information. Turbo tax for military   For more information about cafeteria plans, see section 125 of the Internal Revenue Code and its regulations. Turbo tax for military 2. Turbo tax for military Fringe Benefit Exclusion Rules This section discusses the exclusion rules that apply to fringe benefits. Turbo tax for military These rules exclude all or part of the value of certain benefits from the recipient's pay. Turbo tax for military The excluded benefits are not subject to federal income tax withholding. Turbo tax for military Also, in most cases, they are not subject to social security, Medicare, or federal unemployment (FUTA) tax and are not reported on Form W-2. Turbo tax for military This section discusses the exclusion rules for the following fringe benefits. Turbo tax for military Accident and health benefits. Turbo tax for military Achievement awards. Turbo tax for military Adoption assistance. Turbo tax for military Athletic facilities. Turbo tax for military De minimis (minimal) benefits. Turbo tax for military Dependent care assistance. Turbo tax for military Educational assistance. Turbo tax for military Employee discounts. Turbo tax for military Employee stock options. Turbo tax for military Employer-provided cell phones. Turbo tax for military Group-term life insurance coverage. Turbo tax for military Health savings accounts (HSAs). Turbo tax for military Lodging on your business premises. Turbo tax for military Meals. Turbo tax for military Moving expense reimbursements. Turbo tax for military No-additional-cost services. Turbo tax for military Retirement planning services. Turbo tax for military Transportation (commuting) benefits. Turbo tax for military Tuition reduction. Turbo tax for military Working condition benefits. Turbo tax for military See Table 2-1, later, for an overview of the employment tax treatment of these benefits. Turbo tax for military Table 2-1. Turbo tax for military Special Rules for Various Types of Fringe Benefits (For more information, see the full discussion in this section. Turbo tax for military ) Treatment Under Employment Taxes Type of Fringe Benefit Income Tax Withholding Social Security and Medicare (including Additional Medicare Tax when wages are paid in excess of $200,000) Federal Unemployment (FUTA) Accident and health benefits Exempt1,2, except for long-term care benefits provided through a flexible spending or similar arrangement. Turbo tax for military Exempt, except for certain payments to S corporation employees who are 2% shareholders. Turbo tax for military Exempt Achievement awards Exempt1 up to $1,600 for qualified plan awards ($400 for nonqualified awards). Turbo tax for military Adoption assistance Exempt1,3 Taxable Taxable Athletic facilities Exempt if substantially all use during the calendar year is by employees, their spouses, and their dependent children and the facility is operated by the employer on premises owned or leased by the employer. Turbo tax for military De minimis (minimal) benefits Exempt Exempt Exempt Dependent care assistance Exempt3 up to certain limits, $5,000 ($2,500 for married employee filing separate return). Turbo tax for military Educational assistance Exempt up to $5,250 of benefits each year. Turbo tax for military (See Educational Assistance , later in this section. Turbo tax for military ) Employee discounts Exempt3 up to certain limits. Turbo tax for military (See Employee Discounts , later in this section. Turbo tax for military ) Employee stock options See Employee Stock Options , later in this section. Turbo tax for military Employer-provided cell phones Exempt if provided primarily for noncompensatory business purposes. Turbo tax for military Group-term life insurance coverage Exempt Exempt1,4, 7 up to cost of $50,000 of coverage. Turbo tax for military (Special rules apply to former employees. Turbo tax for military ) Exempt Health savings accounts (HSAs) Exempt for qualified individuals up to the HSA contribution limits. Turbo tax for military (See Health Savings Accounts , later in this section. Turbo tax for military ) Lodging on your business premises Exempt1 if furnished for your convenience as a condition of employment. Turbo tax for military Meals Exempt if furnished on your business premises for your convenience. Turbo tax for military Exempt if de minimis. Turbo tax for military Moving expense reimbursements Exempt1 if expenses would be deductible if the employee had paid them. Turbo tax for military No-additional-cost services Exempt3 Exempt3 Exempt3 Retirement planning services Exempt5 Exempt5 Exempt5 Transportation (commuting) benefits Exempt1 up to certain limits if for rides in a commuter highway vehicle and/or transit passes ($130), qualified parking ($250), or qualified bicycle commuting reimbursement6 ($20). Turbo tax for military (See Transportation (Commuting) Benefits , later in this section. Turbo tax for military ) Exempt if de minimis. Turbo tax for military Tuition reduction Exempt3 if for undergraduate education (or graduate education if the employee performs teaching or research activities). Turbo tax for military Working condition benefits Exempt Exempt Exempt 1 Exemption does not apply to S corporation employees who are 2% shareholders. Turbo tax for military 2 Exemption does not apply to certain highly compensated employees under a self-insured plan that favors those employees. Turbo tax for military 3 Exemption does not apply to certain highly compensated employees under a program that favors those employees. Turbo tax for military 4 Exemption does not apply to certain key employees under a plan that favors those employees. Turbo tax for military 5 Exemption does not apply to services for tax preparation, accounting, legal, or brokerage services. Turbo tax for military 6 If the employee receives a qualified bicycle commuting reimbursement in a qualified bicycle commuting month, the employee cannot receive commuter highway vehicle, transit pass, or qualified parking benefits in that same month. Turbo tax for military 7 You must include in your employee's wages the cost of group-term life insurance beyond $50,000 worth of coverage, reduced by the amount the employee paid toward the insurance. Turbo tax for military Report it as wages in boxes 1, 3, and 5 of the employee's Form W-2. Turbo tax for military Also, show it in box 12 with code “C. Turbo tax for military ” The amount is subject to social security and Medicare taxes, and you may, at your option, withhold federal income tax. Turbo tax for military Accident and Health Benefits This exclusion applies to contributions you make to an accident or health plan for an employee, including the following. Turbo tax for military Contributions to the cost of accident or health insurance including qualified long-term care insurance. Turbo tax for military Contributions to a separate trust or fund that directly or through insurance provides accident or health benefits. Turbo tax for military Contributions to Archer MSAs or health savings accounts (discussed in Publication 969, Health Savings Accounts and Other Tax-Favored Health Plans). Turbo tax for military This exclusion also applies to payments you directly or indirectly make to an employee under an accident or health plan for employees that are either of the following. Turbo tax for military Payments or reimbursements of medical expenses. Turbo tax for military Payments for specific injuries or illnesses (such as the loss of the use of an arm or leg). Turbo tax for military The payments must be figured without regard to any period of absence from work. Turbo tax for military Accident or health plan. Turbo tax for military   This is an arrangement that provides benefits for your employees, their spouses, their dependents, and their children (under age 27) in the event of personal injury or sickness. Turbo tax for military The plan may be insured or noninsured and does not need to be in writing. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current common-law employee. Turbo tax for military A full-time life insurance agent who is a current statutory employee. Turbo tax for military A retired employee. Turbo tax for military A former employee you maintain coverage for based on the employment relationship. Turbo tax for military A widow or widower of an individual who died while an employee. Turbo tax for military A widow or widower of a retired employee. Turbo tax for military For the exclusion of contributions to an accident or health plan, a leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military Special rule for certain government plans. Turbo tax for military   For certain government accident and health plans, payments to a deceased plan participant's beneficiary may qualify for the exclusion from gross income if the other requirements for exclusion are met. Turbo tax for military See section 105(j) for details. Turbo tax for military Exception for S corporation shareholders. Turbo tax for military   Do not treat a 2% shareholder of an S corporation as an employee of the corporation for this purpose. Turbo tax for military A 2% shareholder is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, but do not treat the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military Exclusion from wages. Turbo tax for military   You can generally exclude the value of accident or health benefits you provide to an employee from the employee's wages. Turbo tax for military Exception for certain long-term care benefits. Turbo tax for military   You cannot exclude contributions to the cost of long-term care insurance from an employee's wages subject to federal income tax withholding if the coverage is provided through a flexible spending or similar arrangement. Turbo tax for military This is a benefit program that reimburses specified expenses up to a maximum amount that is reasonably available to the employee and is less than five times the total cost of the insurance. Turbo tax for military However, you can exclude these contributions from the employee's wages subject to social security, Medicare, and federal unemployment (FUTA) taxes. Turbo tax for military S corporation shareholders. Turbo tax for military   Because you cannot treat a 2% shareholder of an S corporation as an employee for this exclusion, you must include the value of accident or health benefits you provide to the employee in the employee's wages subject to federal income tax withholding. Turbo tax for military However, you can exclude the value of these benefits (other than payments for specific injuries or illnesses) from the employee's wages subject to social security, Medicare, and FUTA taxes. Turbo tax for military Exception for highly compensated employees. Turbo tax for military   If your plan is a self-insured medical reimbursement plan that favors highly compensated employees, you must include all or part of the amounts you pay to these employees in their wages subject to federal income tax withholding. Turbo tax for military However, you can exclude these amounts (other than payments for specific injuries or illnesses) from the employee's wages subject to social security, Medicare, and FUTA taxes. Turbo tax for military   A self-insured plan is a plan that reimburses your employees for medical expenses not covered by an accident or health insurance policy. Turbo tax for military   A highly compensated employee for this exception is any of the following individuals. Turbo tax for military One of the five highest paid officers. Turbo tax for military An employee who owns (directly or indirectly) more than 10% in value of the employer's stock. Turbo tax for military An employee who is among the highest paid 25% of all employees (other than those who can be excluded from the plan). Turbo tax for military   For more information on this exception, see section 105(h) of the Internal Revenue Code and its regulations. Turbo tax for military COBRA premiums. Turbo tax for military   The exclusion for accident and health benefits applies to amounts you pay to maintain medical coverage for a current or former employee under the Combined Omnibus Budget Reconciliation Act of 1986 (COBRA). Turbo tax for military The exclusion applies regardless of the length of employment, whether you directly pay the premiums or reimburse the former employee for premiums paid, and whether the employee's separation is permanent or temporary. Turbo tax for military Achievement Awards This exclusion applies to the value of any tangible personal property you give to an employee as an award for either length of service or safety achievement. Turbo tax for military The exclusion does not apply to awards of cash, cash equivalents, gift certificates, or other intangible property such as vacations, meals, lodging, tickets to theater or sporting events, stocks, bonds, and other securities. Turbo tax for military The award must meet the requirements for employee achievement awards discussed in chapter 2 of Publication 535, Business Expenses. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current employee. Turbo tax for military A former common-law employee you maintain coverage for in consideration of or based on an agreement relating to prior service as an employee. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military Exception for S corporation shareholders. Turbo tax for military   Do not treat a 2% shareholder of an S corporation as an employee of the corporation for this purpose. Turbo tax for military A 2% shareholder is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, but do not treat the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military Exclusion from wages. Turbo tax for military   You can generally exclude the value of achievement awards you give to an employee from the employee's wages if their cost is not more than the amount you can deduct as a business expense for the year. Turbo tax for military The excludable annual amount is $1,600 ($400 for awards that are not “qualified plan awards”). Turbo tax for military See chapter 2 of Publication 535 for more information about the limit on deductions for employee achievement awards. Turbo tax for military    To determine for 2014 whether an achievement award is a “qualified plan award” under the deduction rules described in Publication 535, treat any employee who received more than $115,000 in pay for 2013 as a highly compensated employee. Turbo tax for military   If the cost of awards given to an employee is more than your allowable deduction, include in the employee's wages the larger of the following amounts. Turbo tax for military The part of the cost that is more than your allowable deduction (up to the value of the awards). Turbo tax for military The amount by which the value of the awards exceeds your allowable deduction. Turbo tax for military Exclude the remaining value of the awards from the employee's wages. Turbo tax for military Adoption Assistance An adoption assistance program is a separate written plan of an employer that meets all of the following requirements. Turbo tax for military It benefits employees who qualify under rules set up by you, which do not favor highly compensated employees or their dependents. Turbo tax for military To determine whether your plan meets this test, do not consider employees excluded from your plan who are covered by a collective bargaining agreement, if there is evidence that adoption assistance was a subject of good-faith bargaining. Turbo tax for military It does not pay more than 5% of its payments during the year for shareholders or owners (or their spouses or dependents). Turbo tax for military A shareholder or owner is someone who owns (on any day of the year) more than 5% of the stock or of the capital or profits interest of your business. Turbo tax for military You give reasonable notice of the plan to eligible employees. Turbo tax for military Employees provide reasonable substantiation that payments or reimbursements are for qualifying expenses. Turbo tax for military For this exclusion, a highly compensated employee for 2014 is an employee who meets either of the following tests. Turbo tax for military The employee was a 5% owner at any time during the year or the preceding year. Turbo tax for military The employee received more than $115,000 in pay for the preceding year. Turbo tax for military You can choose to ignore test (2) if the employee was not also in the top 20% of employees when ranked by pay for the preceding year. Turbo tax for military You must exclude all payments or reimbursements you make under an adoption assistance program for an employee's qualified adoption expenses from the employee's wages subject to federal income tax withholding. Turbo tax for military However, you cannot exclude these payments from wages subject to social security, Medicare, and federal unemployment (FUTA) taxes. Turbo tax for military For more information, see the Instructions for Form 8839, Qualified Adoption Expenses. Turbo tax for military You must report all qualifying adoption expenses you paid or reimbursed under your adoption assistance program for each employee for the year in box 12 of the employee's Form W-2. Turbo tax for military Use code “T” to identify this amount. Turbo tax for military Exception for S corporation shareholders. Turbo tax for military   For this exclusion, do not treat a 2% shareholder of an S corporation as an employee of the corporation. Turbo tax for military A 2% shareholder is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, including using the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military Athletic Facilities You can exclude the value of an employee's use of an on-premises gym or other athletic facility you operate from an employee's wages if substantially all use of the facility during the calendar year is by your employees, their spouses, and their dependent children. Turbo tax for military For this purpose, an employee's dependent child is a child or stepchild who is the employee's dependent or who, if both parents are deceased, has not attained the age of 25. Turbo tax for military On-premises facility. Turbo tax for military   The athletic facility must be located on premises you own or lease. Turbo tax for military It does not have to be located on your business premises. Turbo tax for military However, the exclusion does not apply to an athletic facility for residential use, such as athletic facilities that are part of a resort. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current employee. Turbo tax for military A former employee who retired or left on disability. Turbo tax for military A widow or widower of an individual who died while an employee. Turbo tax for military A widow or widower of a former employee who retired or left on disability. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military A partner who performs services for a partnership. Turbo tax for military De Minimis (Minimal) Benefits You can exclude the value of a de minimis benefit you provide to an employee from the employee's wages. Turbo tax for military A de minimis benefit is any property or service you provide to an employee that has so little value (taking into account how frequently you provide similar benefits to your employees) that accounting for it would be unreasonable or administratively impracticable. Turbo tax for military Cash and cash equivalent fringe benefits (for example, use of gift card, charge card, or credit card), no matter how little, are never excludable as a de minimis benefit, except for occasional meal money or transportation fare. Turbo tax for military Examples of de minimis benefits include the following. Turbo tax for military Personal use of an employer-provided cell phone provided primarily for noncompensatory business purposes. Turbo tax for military See Employer-Provided Cell Phones , later in this section, for details. Turbo tax for military Occasional personal use of a company copying machine if you sufficiently control its use so that at least 85% of its use is for business purposes. Turbo tax for military Holiday gifts, other than cash, with a low fair market value. Turbo tax for military Group-term life insurance payable on the death of an employee's spouse or dependent if the face amount is not more than $2,000. Turbo tax for military Meals. Turbo tax for military See Meals , later in this section, for details. Turbo tax for military Occasional parties or picnics for employees and their guests. Turbo tax for military Occasional tickets for theater or sporting events. Turbo tax for military Transportation fare. Turbo tax for military See Transportation (Commuting) Benefits , later in this section, for details. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat any recipient of a de minimis benefit as an employee. Turbo tax for military Dependent Care Assistance This exclusion applies to household and dependent care services you directly or indirectly pay for or provide to an employee under a dependent care assistance program that covers only your employees. Turbo tax for military The services must be for a qualifying person's care and must be provided to allow the employee to work. Turbo tax for military These requirements are basically the same as the tests the employee would have to meet to claim the dependent care credit if the employee paid for the services. Turbo tax for military For more information, see Qualifying Person Test and Work-Related Expense Test in Publication 503, Child and Dependent Care Expenses. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current employee. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military Yourself (if you are a sole proprietor). Turbo tax for military A partner who performs services for a partnership. Turbo tax for military Exclusion from wages. Turbo tax for military   You can exclude the value of benefits you provide to an employee under a dependent care assistance program from the employee's wages if you reasonably believe that the employee can exclude the benefits from gross income. Turbo tax for military   An employee can generally exclude from gross income up to $5,000 of benefits received under a dependent care assistance program each year. Turbo tax for military This limit is reduced to $2,500 for married employees filing separate returns. Turbo tax for military   However, the exclusion cannot be more than the smaller of the earned income of either the employee or employee's spouse. Turbo tax for military Special rules apply to determine the earned income of a spouse who is either a student or not able to care for himself or herself. Turbo tax for military For more information on the earned income limit, see Publication 503. Turbo tax for military Exception for highly compensated employees. Turbo tax for military   You cannot exclude dependent care assistance from the wages of a highly compensated employee unless the benefits provided under the program do not favor highly compensated employees and the program meets the requirements described in section 129(d) of the Internal Revenue Code. Turbo tax for military   For this exclusion, a highly compensated employee for 2014 is an employee who meets either of the following tests. Turbo tax for military The employee was a 5% owner at any time during the year or the preceding year. Turbo tax for military The employee received more than $115,000 in pay for the preceding year. Turbo tax for military You can choose to ignore test (2) if the employee was not also in the top 20% of employees when ranked by pay for the preceding year. Turbo tax for military Form W-2. Turbo tax for military   Report the value of all dependent care assistance you provide to an employee under a dependent care assistance program in box 10 of the employee's Form W-2. Turbo tax for military Include any amounts you cannot exclude from the employee's wages in boxes 1, 3, and 5. Turbo tax for military Report both the nontaxable portion of assistance (up to $5,000) and any assistance above the amount that is non-taxable to the employee. Turbo tax for military Example. Turbo tax for military   Company A provides a dependent care assistance flexible spending arrangement to its employees through a cafeteria plan. Turbo tax for military In addition, it provides occasional on-site dependent care to its employees at no cost. Turbo tax for military Emily, an employee of company A, had $4,500 deducted from her pay for the dependent care flexible spending arrangement. Turbo tax for military In addition, Emily used the on-site dependent care several times. Turbo tax for military The fair market value of the on-site care was $700. Turbo tax for military Emily's Form W-2 should report $5,200 of dependent care assistance in box 10 ($4,500 flexible spending arrangement plus $700 on-site dependent care). Turbo tax for military Boxes 1, 3, and 5 should include $200 (the amount in excess of the nontaxable assistance), and applicable taxes should be withheld on that amount. Turbo tax for military Educational Assistance This exclusion applies to educational assistance you provide to employees under an educational assistance program. Turbo tax for military The exclusion also applies to graduate level courses. Turbo tax for military Educational assistance means amounts you pay or incur for your employees' education expenses. Turbo tax for military These expenses generally include the cost of books, equipment, fees, supplies, and tuition. Turbo tax for military However, these expenses do not include the cost of a course or other education involving sports, games, or hobbies, unless the education: Has a reasonable relationship to your business, or Is required as part of a degree program. Turbo tax for military Education expenses do not include the cost of tools or supplies (other than textbooks) your employee is allowed to keep at the end of the course. Turbo tax for military Nor do they include the cost of lodging, meals, or transportation. Turbo tax for military Educational assistance program. Turbo tax for military   An educational assistance program is a separate written plan that provides educational assistance only to your employees. Turbo tax for military The program qualifies only if all of the following tests are met. Turbo tax for military The program benefits employees who qualify under rules set up by you that do not favor highly compensated employees. Turbo tax for military To determine whether your program meets this test, do not consider employees excluded from your program who are covered by a collective bargaining agreement if there is evidence that educational assistance was a subject of good-faith bargaining. Turbo tax for military The program does not provide more than 5% of its benefits during the year for shareholders or owners. Turbo tax for military A shareholder or owner is someone who owns (on any day of the year) more than 5% of the stock or of the capital or profits interest of your business. Turbo tax for military The program does not allow employees to choose to receive cash or other benefits that must be included in gross income instead of educational assistance. Turbo tax for military You give reasonable notice of the program to eligible employees. Turbo tax for military Your program can cover former employees if their employment is the reason for the coverage. Turbo tax for military   For this exclusion, a highly compensated employee for 2014 is an employee who meets either of the following tests. Turbo tax for military The employee was a 5% owner at any time during the year or the preceding year. Turbo tax for military The employee received more than $115,000 in pay for the preceding year. Turbo tax for military You can choose to ignore test (2) if the employee was not also in the top 20% of employees when ranked by pay for the preceding year. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current employee. Turbo tax for military A former employee who retired, left on disability, or was laid off. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military Yourself (if you are a sole proprietor). Turbo tax for military A partner who performs services for a partnership. Turbo tax for military Exclusion from wages. Turbo tax for military   You can exclude up to $5,250 of educational assistance you provide to an employee under an educational assistance program from the employee's wages each year. Turbo tax for military Assistance over $5,250. Turbo tax for military   If you do not have an educational assistance plan, or you provide an employee with assistance exceeding $5,250, you must include the value of these benefits as wages, unless the benefits are working condition benefits. Turbo tax for military Working condition benefits may be excluded from wages. Turbo tax for military Property or a service provided is a working condition benefit to the extent that if the employee paid for it, the amount paid would have been deductible as a business or depreciation expense. Turbo tax for military See Working Condition Benefits , later, in this section. Turbo tax for military Employee Discounts This exclusion applies to a price reduction you give an employee on property or services you offer to customers in the ordinary course of the line of business in which the employee performs substantial services. Turbo tax for military However, it does not apply to discounts on real property or discounts on personal property of a kind commonly held for investment (such as stocks or bonds). Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current employee. Turbo tax for military A former employee who retired or left on disability. Turbo tax for military A widow or widower of an individual who died while an employee. Turbo tax for military A widow or widower of an employee who retired or left on disability. Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction or control. Turbo tax for military A partner who performs services for a partnership. Turbo tax for military Exclusion from wages. Turbo tax for military   You can generally exclude the value of an employee discount you provide an employee from the employee's wages, up to the following limits. Turbo tax for military For a discount on services, 20% of the price you charge nonemployee customers for the service. Turbo tax for military For a discount on merchandise or other property, your gross profit percentage times the price you charge nonemployee customers for the property. Turbo tax for military   Determine your gross profit percentage in the line of business based on all property you offer to customers (including employee customers) and your experience during the tax year immediately before the tax year in which the discount is available. Turbo tax for military To figure your gross profit percentage, subtract the total cost of the property from the total sales price of the property and divide the result by the total sales price of the property. Turbo tax for military Exception for highly compensated employees. Turbo tax for military   You cannot exclude from the wages of a highly compensated employee any part of the value of a discount that is not available on the same terms to one of the following groups. Turbo tax for military All of your employees. Turbo tax for military A group of employees defined under a reasonable classification you set up that does not favor highly compensated employees. Turbo tax for military   For this exclusion, a highly compensated employee for 2014 is an employee who meets either of the following tests. Turbo tax for military The employee was a 5% owner at any time during the year or the preceding year. Turbo tax for military The employee received more than $115,000 in pay for the preceding year. Turbo tax for military You can choose to ignore test (2) if the employee was not also in the top 20% of employees when ranked by pay for the preceding year. Turbo tax for military Employee Stock Options There are three kinds of stock options—incentive stock options, employee stock purchase plan options, and nonstatutory (nonqualified) stock options. Turbo tax for military Wages for social security, Medicare, and federal unemployment (FUTA) taxes do not include remuneration resulting from the exercise, after October 22, 2004, of an incentive stock option or under an employee stock purchase plan option, or from any disposition of stock acquired by exercising such an option. Turbo tax for military The IRS will not apply these taxes to an exercise before October 23, 2004, of an incentive stock option or an employee stock purchase plan option or to a disposition of stock acquired by such exercise. Turbo tax for military Additionally, federal income tax withholding is not required on the income resulting from a disqualifying disposition of stock acquired by the exercise after October 22, 2004, of an incentive stock option or under an employee stock purchase plan option, or on income equal to the discount portion of stock acquired by the exercise, after October 22, 2004, of an employee stock purchase plan option resulting from any disposition of the stock. Turbo tax for military The IRS will not apply federal income tax withholding upon the disposition of stock acquired by the exercise, before October 23, 2004, of an incentive stock option or an employee stock purchase plan option. Turbo tax for military However, the employer must report as income in box 1 of Form W-2, (a) the discount portion of stock acquired by the exercise of an employee stock purchase plan option upon disposition of the stock, and (b) the spread (between the exercise price and the fair market value of the stock at the time of exercise) upon a disqualifying disposition of stock acquired by the exercise of an incentive stock option or an employee stock purchase plan option. Turbo tax for military An employer must report the excess of the fair market value of stock received upon exercise of a nonstatutory stock option over the amount paid for the stock option on Form W-2 in boxes 1, 3 (up to the social security wage base), 5, and in box 12 using the code “V. Turbo tax for military ” See Regulations section 1. Turbo tax for military 83-7. Turbo tax for military An employee who transfers his or her interest in nonstatutory stock options to the employee's former spouse incident to a divorce is not required to include an amount in gross income upon the transfer. Turbo tax for military The former spouse, rather than the employee, is required to include an amount in gross income when the former spouse exercises the stock options. Turbo tax for military See Revenue Ruling 2002-22 and Revenue Ruling 2004-60 for details. Turbo tax for military You can find Revenue Ruling 2002-22 on page 849 of Internal Revenue Bulletin 2002-19 at www. Turbo tax for military irs. Turbo tax for military gov/pub/irs-irbs/irb02-19. Turbo tax for military pdf. Turbo tax for military See Revenue Ruling 2004-60, 2004-24 I. Turbo tax for military R. Turbo tax for military B. Turbo tax for military 1051, available at www. Turbo tax for military irs. Turbo tax for military gov/irb/2004-24_IRB/ar13. Turbo tax for military html. Turbo tax for military For more information about employee stock options, see sections 421, 422, and 423 of the Internal Revenue Code and their related regulations. Turbo tax for military Employer-Provided Cell Phones The value of an employer-provided cell phone, provided primarily for noncompensatory business reasons, is excludable from an employee's income as a working condition fringe benefit. Turbo tax for military Personal use of an employer-provided cell phone, provided primarily for noncompensatory business reasons, is excludable from an employee's income as a de minimis fringe benefit. Turbo tax for military For the rules relating to these types of benefits, see De Minimis (Minimal) Benefits , earlier in this section, and Working Condition Benefits , later in this section. Turbo tax for military Noncompensatory business purposes. Turbo tax for military   You provide a cell phone primarily for noncompensatory business purposes if there are substantial business reasons for providing the cell phone. Turbo tax for military Examples of substantial business reasons include the employer's: Need to contact the employee at all times for work-related emergencies, Requirement that the employee be available to speak with clients at times when the employee is away from the office, and Need to speak with clients located in other time zones at times outside the employee's normal workday. Turbo tax for military Cell phones provided to promote goodwill, boost morale, or attract prospective employees. Turbo tax for military   You cannot exclude from an employee's wages the value of a cell phone provided to promote goodwill of an employee, to attract a prospective employee, or as a means of providing additional compensation to an employee. Turbo tax for military Additional information. Turbo tax for military   For additional information on the tax treatment of employer-provided cell phones, see Notice 2011-72, 2011-38 I. Turbo tax for military R. Turbo tax for military B. Turbo tax for military 407, available at  www. Turbo tax for military irs. Turbo tax for military gov/irb/2011-38_IRB/ar07. Turbo tax for military html. Turbo tax for military Group-Term Life Insurance Coverage This exclusion applies to life insurance coverage that meets all the following conditions. Turbo tax for military It provides a general death benefit that is not included in income. Turbo tax for military You provide it to a group of employees. Turbo tax for military See The 10-employee rule , later. Turbo tax for military It provides an amount of insurance to each employee based on a formula that prevents individual selection. Turbo tax for military This formula must use factors such as the employee's age, years of service, pay, or position. Turbo tax for military You provide it under a policy you directly or indirectly carry. Turbo tax for military Even if you do not pay any of the policy's cost, you are considered to carry it if you arrange for payment of its cost by your employees and charge at least one employee less than, and at least one other employee more than, the cost of his or her insurance. Turbo tax for military Determine the cost of the insurance, for this purpose, as explained under Coverage over the limit , later. Turbo tax for military Group-term life insurance does not include the following insurance. Turbo tax for military Insurance that does not provide general death benefits, such as travel insurance or a policy providing only accidental death benefits. Turbo tax for military Life insurance on the life of your employee's spouse or dependent. Turbo tax for military However, you may be able to exclude the cost of this insurance from the employee's wages as a de minimis benefit. Turbo tax for military See De Minimis (Minimal) Benefits , earlier in this section. Turbo tax for military Insurance provided under a policy that provides a permanent benefit (an economic value that extends beyond 1 policy year, such as paid-up or cash surrender value), unless certain requirements are met. Turbo tax for military See Regulations section 1. Turbo tax for military 79-1 for details. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat the following individuals as employees. Turbo tax for military A current common-law employee. Turbo tax for military A full-time life insurance agent who is a current statutory employee. Turbo tax for military An individual who was formerly your employee under (1) or (2). Turbo tax for military A leased employee who has provided services to you on a substantially full-time basis for at least a year if the services are performed under your primary direction and control. Turbo tax for military Exception for S corporation shareholders. Turbo tax for military   Do not treat a 2% shareholder of an S corporation as an employee of the corporation for this purpose. Turbo tax for military A 2% shareholder is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, but do not treat the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military The 10-employee rule. Turbo tax for military   Generally, life insurance is not group-term life insurance unless you provide it to at least 10 full-time employees at some time during the year. Turbo tax for military   For this rule, count employees who choose not to receive the insurance unless, to receive it, they must contribute to the cost of benefits other than the group-term life insurance. Turbo tax for military For example, count an employee who could receive insurance by paying part of the cost, even if that employee chooses not to receive it. Turbo tax for military However, do not count an employee who must pay part or all of the cost of permanent benefits to get insurance, unless that employee chooses to receive it. Turbo tax for military A permanent benefit is an economic value extending beyond one policy year (for example, a paid-up or cash-surrender value) that is provided under a life insurance policy. Turbo tax for military Exceptions. Turbo tax for military   Even if you do not meet the 10-employee rule, two exceptions allow you to treat insurance as group-term life insurance. Turbo tax for military   Under the first exception, you do not have to meet the 10-employee rule if all the following conditions are met. Turbo tax for military If evidence that the employee is insurable is required, it is limited to a medical questionnaire (completed by the employee) that does not require a physical. Turbo tax for military You provide the insurance to all your full-time employees or, if the insurer requires the evidence mentioned in (1), to all full-time employees who provide evidence the insurer accepts. Turbo tax for military You figure the coverage based on either a uniform percentage of pay or the insurer's coverage brackets that meet certain requirements. Turbo tax for military See Regulations section 1. Turbo tax for military 79-1 for details. Turbo tax for military   Under the second exception, you do not have to meet the 10-employee rule if all the following conditions are met. Turbo tax for military You provide the insurance under a common plan covering your employees and the employees of at least one other employer who is not related to you. Turbo tax for military The insurance is restricted to, but mandatory for, all your employees who belong to, or are represented by, an organization (such as a union) that carries on substantial activities besides obtaining insurance. Turbo tax for military Evidence of whether an employee is insurable does not affect an employee's eligibility for insurance or the amount of insurance that employee gets. Turbo tax for military   To apply either exception, do not consider employees who were denied insurance for any of the following reasons. Turbo tax for military They were 65 or older. Turbo tax for military They customarily work 20 hours or less a week or 5 months or less in a calendar year. Turbo tax for military They have not been employed for the waiting period given in the policy. Turbo tax for military This waiting period cannot be more than 6 months. Turbo tax for military Exclusion from wages. Turbo tax for military   You can generally exclude the cost of up to $50,000 of group-term life insurance from the wages of an insured employee. Turbo tax for military You can exclude the same amount from the employee's wages when figuring social security and Medicare taxes. Turbo tax for military In addition, you do not have to withhold federal income tax or pay FUTA tax on any group-term life insurance you provide to an employee. Turbo tax for military Coverage over the limit. Turbo tax for military   You must include in your employee's wages the cost of group-term life insurance beyond $50,000 worth of coverage, reduced by the amount the employee paid toward the insurance. Turbo tax for military Report it as wages in boxes 1, 3, and 5 of the employee's Form W-2. Turbo tax for military Also, show it in box 12 with code “C. Turbo tax for military ” The amount is subject to social security and Medicare taxes, and you may, at your option, withhold federal income tax. Turbo tax for military   Figure the monthly cost of the insurance to include in the employee's wages by multiplying the number of thousands of dollars of all insurance coverage over $50,000 (figured to the nearest $100) by the cost shown in Table 2-2. Turbo tax for military For all coverage provided within the calendar year, use the employee's age on the last day of the employee's tax year. Turbo tax for military You must prorate the cost from the table if less than a full month of coverage is involved. Turbo tax for military Table 2-2. Turbo tax for military Cost Per $1,000 of Protection For 1 Month Age Cost Under 25 $ . Turbo tax for military 05 25 through 29 . Turbo tax for military 06 30 through 34 . Turbo tax for military 08 35 through 39 . Turbo tax for military 09 40 through 44 . Turbo tax for military 10 45 through 49 . Turbo tax for military 15 50 through 54 . Turbo tax for military 23 55 through 59 . Turbo tax for military 43 60 through 64 . Turbo tax for military 66 65 through 69 1. Turbo tax for military 27 70 and older 2. Turbo tax for military 06 You figure the total cost to include in the employee's wages by multiplying the monthly cost by the number of full months' coverage at that cost. Turbo tax for military Example. Turbo tax for military Tom's employer provides him with group-term life insurance coverage of $200,000. Turbo tax for military Tom is 45 years old, is not a key employee, and pays $100 per year toward the cost of the insurance. Turbo tax for military Tom's employer must include $170 in his wages. Turbo tax for military The $200,000 of insurance coverage is reduced by $50,000. Turbo tax for military The yearly cost of $150,000 of coverage is $270 ($. Turbo tax for military 15 x 150 x 12), and is reduced by the $100 Tom pays for the insurance. Turbo tax for military The employer includes $170 in boxes 1, 3, and 5 of Tom's Form W-2. Turbo tax for military The employer also enters $170 in box 12 with code “C. Turbo tax for military ” Coverage for dependents. Turbo tax for military   Group-term life insurance coverage paid by the employer for the spouse or dependents of an employee may be excludable from income as a de minimis fringe benefit if the face amount is not more than $2,000. Turbo tax for military If the face amount is greater than $2,000, the entire cost of the dependent coverage must be included in income unless the amount over $2,000 is purchased with employee contributions on an after-tax basis. Turbo tax for military The cost of the insurance is determined by using Table 2-2. Turbo tax for military Former employees. Turbo tax for military   When group-term life insurance over $50,000 is provided to an employee (including retirees) after his or her termination, the employee share of social security and Medicare taxes on that period of coverage is paid by the former employee with his or her tax return and is not collected by the employer. Turbo tax for military You are not required to collect those taxes. Turbo tax for military Use the table above to determine the amount of social security and Medicare taxes owed by the former employee for coverage provided after separation from service. Turbo tax for military Report those uncollected amounts separately in box 12 of Form W-2 using codes “M” and “N. Turbo tax for military ” See the General Instructions for Forms W-2 and W-3 and the Instructions for Form 941. Turbo tax for military Exception for key employees. Turbo tax for military   Generally, if your group-term life insurance plan favors key employees as to participation or benefits, you must include the entire cost of the insurance in your key employees' wages. Turbo tax for military This exception generally does not apply to church plans. Turbo tax for military When figuring social security and Medicare taxes, you must also include the entire cost in the employees' wages. Turbo tax for military Include the cost in boxes 1, 3, and 5 of Form W-2. Turbo tax for military However, you do not have to withhold federal income tax or pay FUTA tax on the cost of any group-term life insurance you provide to an employee. Turbo tax for military   For this purpose, the cost of the insurance is the greater of the following amounts. Turbo tax for military The premiums you pay for the employee's insurance. Turbo tax for military See Regulations section 1. Turbo tax for military 79-4T(Q&A 6) for more information. Turbo tax for military The cost you figure using Table 2-2. Turbo tax for military   For this exclusion, a key employee during 2014 is an employee or former employee who is one of the following individuals. Turbo tax for military See section 416(i) of the Internal Revenue Code for more information. Turbo tax for military An officer having annual pay of more than $170,000. Turbo tax for military An individual who for 2014 was either of the following. Turbo tax for military A 5% owner of your business. Turbo tax for military A 1% owner of your business whose annual pay was more than $150,000. Turbo tax for military   A former employee who was a key employee upon retirement or separation from service is also a key employee. Turbo tax for military   Your plan does not favor key employees as to participation if at least one of the following is true. Turbo tax for military It benefits at least 70% of your employees. Turbo tax for military At least 85% of the participating employees are not key employees. Turbo tax for military It benefits employees who qualify under a set of rules you set up that do not favor key employees. Turbo tax for military   Your plan meets this participation test if it is part of a cafeteria plan (discussed in section 1) and it meets the participation test for those plans. Turbo tax for military   When applying this test, do not consider employees who: Have not completed 3 years of service, Are part-time or seasonal, Are nonresident aliens who receive no U. Turbo tax for military S. Turbo tax for military source earned income from you, or Are not included in the plan but are in a unit of employees covered by a collective bargaining agreement, if the benefits provided under the plan were the subject of good-faith bargaining between you and employee representatives. Turbo tax for military   Your plan does not favor key employees as to benefits if all benefits available to participating key employees are also available to all other participating employees. Turbo tax for military Your plan does not favor key employees just because the amount of insurance you provide to your employees is uniformly related to their pay. Turbo tax for military S corporation shareholders. Turbo tax for military   Because you cannot treat a 2% shareholder of an S corporation as an employee for this exclusion, you must include the cost of all group-term life insurance coverage you provide the 2% shareholder in his or her wages. Turbo tax for military When figuring social security and Medicare taxes, you must also include the cost of this coverage in the 2% shareholder's wages. Turbo tax for military Include the cost in boxes 1, 3, and 5 of Form W-2. Turbo tax for military However, you do not have to withhold federal income tax or pay federal unemployment tax on the cost of any group-term life insurance coverage you provide to the 2% shareholder. Turbo tax for military Health Savings Accounts A Health Savings Account (HSA) is an account owned by a qualified individual who is generally your employee or former employee. Turbo tax for military Any contributions that you make to an HSA become the employee's property and cannot be withdrawn by you. Turbo tax for military Contributions to the account are used to pay current or future medical expenses of the account owner, his or her spouse, and any qualified dependent. Turbo tax for military The medical expenses must not be reimbursable by insurance or other sources and their payment from HSA funds (distribution) will not give rise to a medical expense deduction on the individual's federal income tax return. Turbo tax for military For more information about HSAs, visit the Department of Treasury's website at www. Turbo tax for military treasury. Turbo tax for military gov and enter “HSA” in the search box. Turbo tax for military Eligibility. Turbo tax for military   A qualified individual must be covered by a High Deductible Health Plan (HDHP) and not be covered by other health insurance except for permitted insurance listed under section 223(c)(3) or insurance for accidents, disability, dental care, vision care, or long-term care. Turbo tax for military For calendar year 2014, a qualifying HDHP must have a deductible of at least $1,250 for self-only coverage or $2,500 for family coverage and must limit annual out-of-pocket expenses of the beneficiary to $6,350 for self-only coverage and $12,700 for family coverage. Turbo tax for military   There are no income limits that restrict an individual's eligibility to contribute to an HSA nor is there a requirement that the account owner have earned income to make a contribution. Turbo tax for military Exceptions. Turbo tax for military   An individual is not a qualified individual if he or she can be claimed as a dependent on another person's tax return. Turbo tax for military Also, an employee's participation in a health flexible spending arrangement (FSA) or health reimbursement arrangement (HRA) generally disqualifies the individual (and employer) from making contributions to his or her HSA. Turbo tax for military However, an individual may qualify to participate in an HSA if he or she is participating in only a limited-purpose FSA or HRA or a post-deductible FSA. Turbo tax for military For more information, see Other employee health plans in Publication 969. Turbo tax for military Employer contributions. Turbo tax for military   Up to specified dollar limits, cash contributions to the HSA of a qualified individual (determined monthly) are exempt from federal income tax withholding, social security tax, Medicare tax, and FUTA tax. Turbo tax for military For 2014, you can contribute up to $3,300 for self-only coverage or $6,550 for family coverage to a qualified individual's HSA. Turbo tax for military   The contribution amounts listed above are increased by $1,000 for a qualified individual who is age 55 or older at any time during the year. Turbo tax for military For two qualified individuals who are married to each other and who each are age 55 or older at any time during the year, each spouse's contribution limit is increased by $1,000 provided each spouse has a separate HSA. Turbo tax for military No contributions can be made to an individual's HSA after he or she becomes enrolled in Medicare Part A or Part B. Turbo tax for military Nondiscrimination rules. Turbo tax for military    Your contribution amount to an employee's HSA must be comparable for all employees who have comparable coverage during the same period. Turbo tax for military Otherwise, there will be an excise tax equal to 35% of the amount you contributed to all employees' HSAs. Turbo tax for military   For guidance on employer comparable contributions to HSAs under section 4980G in instances where an employee has not established an HSA by December 31 and in instances where an employer accelerates contributions for the calendar year for employees who have incurred qualified medical expenses, see Regulations section 54. Turbo tax for military 4980G-4. Turbo tax for military Exception. Turbo tax for military   The Tax Relief and Health Care Act of 2006 allows employers to make larger HSA contributions for a nonhighly compensated employee than for a highly compensated employee. Turbo tax for military A highly compensated employee for 2014 is an employee who meets either of the following tests. Turbo tax for military The employee was a 5% owner at any time during the year or the preceding year. Turbo tax for military The employee received more than $115,000 in pay for the preceding year. Turbo tax for military You can choose to ignore test (2) if the employee was not also in the top 20% of employees when ranked by pay for the preceding year. Turbo tax for military Partnerships and S corporations. Turbo tax for military   Partners and 2% shareholders of an S corporation are not eligible for salary reduction (pre-tax) contributions to an HSA. Turbo tax for military Employer contributions to the HSA of a bona fide partner or 2% shareholder are treated as distributions or guaranteed payments as determined by the facts and circumstances. Turbo tax for military Cafeteria plans. Turbo tax for military   You may contribute to an employee's HSA using a cafeteria plan and your contributions are not subject to the statutory comparability rules. Turbo tax for military However, cafeteria plan nondiscrimination rules still apply. Turbo tax for military For example, contributions under a cafeteria plan to employee HSAs cannot be greater for higher-paid employees than they are for lower-paid employees. Turbo tax for military Contributions that favor lower-paid employees are not prohibited. Turbo tax for military Reporting requirements. Turbo tax for military   You must report your contributions to an employee's HSA in box 12 of Form W-2 using code “W. Turbo tax for military ” The trustee or custodian of the HSA, generally a bank or insurance company, reports distributions from the HSA using Form 1099-SA, Distributions From an HSA, Archer MSA, or Medicare Advantage MSA. Turbo tax for military Lodging on Your Business Premises You can exclude the value of lodging you furnish to an employee from the employee's wages if it meets the following tests. Turbo tax for military It is furnished on your business premises. Turbo tax for military It is furnished for your convenience. Turbo tax for military The employee must accept it as a condition of employment. Turbo tax for military Different tests may apply to lodging furnished by educational institutions. Turbo tax for military See section 119(d) of the Internal Revenue Code for details. Turbo tax for military The exclusion does not apply if you allow your employee to choose to receive additional pay instead of lodging. Turbo tax for military On your business premises. Turbo tax for military   For this exclusion, your business premises is generally your employee's place of work. Turbo tax for military For special rules that apply to lodging furnished in a camp located in a foreign country, see section 119(c) of the Internal Revenue Code and its regulations. Turbo tax for military For your convenience. Turbo tax for military   Whether or not you furnish lodging for your convenience as an employer depends on all the facts and circumstances. Turbo tax for military You furnish the lodging to your employee for your convenience if you do this for a substantial business reason other than to provide the employee with additional pay. Turbo tax for military This is true even if a law or an employment contract provides that the lodging is furnished as pay. Turbo tax for military However, a written statement that the lodging is furnished for your convenience is not sufficient. Turbo tax for military Condition of employment. Turbo tax for military   Lodging meets this test if you require your employees to accept the lodging because they need to live on your business premises to be able to properly perform their duties. Turbo tax for military Examples include employees who must be available at all times and employees who could not perform their required duties without being furnished the lodging. Turbo tax for military   It does not matter whether you must furnish the lodging as pay under the terms of an employment contract or a law fixing the terms of employment. Turbo tax for military Example. Turbo tax for military A hospital gives Joan, an employee of the hospital, the choice of living at the hospital free of charge or living elsewhere and receiving a cash allowance in addition to her regular salary. Turbo tax for military If Joan chooses to live at the hospital, the hospital cannot exclude the value of the lodging from her wages because she is not required to live at the hospital to properly perform the duties of her employment. Turbo tax for military S corporation shareholders. Turbo tax for military   For this exclusion, do not treat a 2% shareholder of an S corporation as an employee of the corporation. Turbo tax for military A 2% shareholder is someone who directly or indirectly owns (at any time during the year) more than 2% of the corporation's stock or stock with more than 2% of the voting power. Turbo tax for military Treat a 2% shareholder as you would a partner in a partnership for fringe benefit purposes, but do not treat the benefit as a reduction in distributions to the 2% shareholder. Turbo tax for military Meals This section discusses the exclusion rules that apply to de minimis meals and meals on your business premises. Turbo tax for military De Minimis Meals You can exclude any occasional meal or meal money you provide to an employee if it has so little value (taking into account how frequently you provide meals to your employees) that accounting for it would be unreasonable or administratively impracticable. Turbo tax for military The exclusion applies, for example, to the following items. Turbo tax for military Coffee, doughnuts, or soft drinks. Turbo tax for military Occasional meals or meal money provided to enable an employee to work overtime. Turbo tax for military However, the exclusion does not apply to meal money figured on the basis of hours worked. Turbo tax for military Occasional parties or picnics for employees and their guests. Turbo tax for military This exclusion also applies to meals you provide at an employer-operated eating facility for employees if the annual revenue from the facility equals or exceeds the direct costs of the facility. Turbo tax for military For this purpose, your revenue from providing a meal is considered equal to the facility's direct operating costs to provide that meal if its value can be excluded from an employee's wages as explained under Meals on Your Business Premises , later. Turbo tax for military If food or beverages you furnish to employees qualify as a de minimis benefit, you can deduct their full cost. Turbo tax for military The 50% limit on deductions for the cost of meals does not apply. Turbo tax for military The deduction limit on meals is discussed in chapter 2 of Publication 535. Turbo tax for military Employee. Turbo tax for military   For this exclusion, treat any recipient of a de minimis meal as