Noncash fringe benefits that are provided employees are treated as nontaxable income and thus are excluded from federal income tax withholding.

Question

Quizplus · Accepted Answer

Noncash fringe benefits are generally considered taxable income for the employee and must be included in their wages for income tax purposes, unless specifically excluded by law (e.g., health insurance, certain educational assistance).

Noncash Fringe Benefits That Are Provided Employees Are Treated as Nontaxable