An employer is allowed to deduct the accrued expense for the employer's liability to pay nonqualified deferred compensation.

Name: An employer is allowed to deduct the accrued expense for the employer's liability to pay nonqualified deferred compensation.
Brand: Quizplus
Rating: 4.9 (46 reviews)

Question

Quizplus · Accepted Answer

Employers cannot deduct the accrued expense for nonqualified deferred compensation until the compensation is actually paid or made available to the employee, as the tax rules require the economic performance to occur before a deduction is allowed.

An Employer Is Allowed to Deduct the Accrued Expense for the Employer's