Under the federal income tax withholding law, income taxes are not withheld from the value of meals that employers furnish workers on the employers' premises for the employers' convenience.

Question

Quizplus · Accepted Answer

This is correct according to the Internal Revenue Service (IRS) guidelines. If the meals are provided for the convenience of the employer, such as if the company operates in a remote location and it would be inconvenient for employees to leave for lunch, then the meals are considered a de minimis fringe benefit and are not subject to income tax withholding.

Under the Federal Income Tax Withholding Law, Income Taxes Are