Which “Perks” need to be Declared on your Tax Return

A perk or fringe benefit is a financial benefit that your employer provides for you.  Whether that benefit is taxable depends on a number of factors.  The tax implications of many fringe benefits are well understood.  Here are some less familiar tax implications:

Airline Miles Become Taxable

Earlier this year (prompted by a claim by Citibank that the miles it grants its customers upon opening an account (among other items) are gifts and therefore the recipient is on the hook for paying taxes) the IRS publicly stated that the value of frequent-flier miles are “provided as a premium for opening … Read the rest