If an employee is reimbursed through an accountable plan which of the following is not true?
A)All reimbursements are included in income.
B)A reimbursement equal to the expense is not included in income.
C)A reimbursement in excess of expense is included in income.
D)The itemized deduction for unreimbursed business expenses is suspended.

Question

Quizplus · Accepted Answer

Reimbursements through an accountable plan are not included in the employee's income if they are equal to or less than the incurred expenses. Thus, statement A is incorrect as it suggests all reimbursements are included in income, which is not true for accountable plans.

If an Employee Is Reimbursed Through an Accountable Plan Which