IRS Fringe Benefit Guide

Hand writing Benefits with blue marker on transparent wipe board.

The Taxable Fringe Benefits Guide was created by the IRSĀ office of Federal, State and Local Governments (FSLG) to provide governmental entities with a basic reference guide to Federal tax rules relating to employee fringe benefits and reporting.

As a supplement to other IRS publications, the Taxable Fringe Benefit Guide is designed to help individuals responsible for determining the correct tax treatment of employee fringe benefits and the appropriate withholding and reporting procedures for them.

The publication covers:

  • How to determine whether specific types of benefits or compensation are taxable.
  • Procedures for computing the taxable value of fringe benefits.
  • Rules for withholding Federal income tax, social security, and Medicare taxes from taxable fringe benefits.
  • Reporting of the taxable value of benefits on Forms W-2 and 1099- MISC.
  • How to contact the Internal Revenue Service with questions regarding taxation and reporting requirements.

Click here to access the guide.