The Tax Questions Blog

Posts Tagged ‘non taxable health insurance’

Question: Are medical benefits paid to volunteers taxable income under the IRS Code?

If a rural fire department that has volunteers, not paid employees, decides to provide the volunteers paid health insurance, or other non-salary benefits, are these taxable income? And, do they trigger workers compensation issues in Idaho?

Answer: Dear OD: The employer(fire dept) will be able to tell you. If they are not up to speed look at the IRS "Taxable Fringe Benefits Guide".

This pub explains how fringe benefits work and which are taxable which are deferred and which ones are exempt. Most health insurance plans paid for by the employer (if you are a volunteer, you are considered an employee for this determination) are tax exempt. The same applies to "de mininimis benefits" such as coffee at the firehouse.

This advice was prepared based on our understanding of the tax laws in effect at the time it was written as it applies to the facts that you provided. Click on my profile to read more. Errol Quinn Enrolled Agent

Incidence of tax under exemption system regressive in Indian context

Modern approach to taxation of health and education.

Alex Jones Tv {Sunday Edition} 3/8: Pelosi "Buy a $15000 Policy or Go to Jail"