Archives: Fringe Benefits

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California’s Increased Paid Family Leave Benefits and San Francisco’s Paid Parental Leave Ordinance

Long considered to be at the forefront of providing benefits to employees who take family and medical leave, California recently enacted a new law aimed at increasing the benefits paid out to employees who take time off to care for an ill or injured family member or for new child bonding. Meanwhile, San Francisco’s Board … Continue Reading

Increase to Transit Reimbursement Limits Might Necessitate Corrective Tax Filings

The tax extenders legislation (formally called the “Tax Increase Prevention Act of 2014“) signed into law on December 17 included a one-year extension of “parity” for the limits on tax-exempt mass transit and parking benefits.  The change retroactively increases the limit on pre-tax mass transit benefits, which means that it affects the information that must … Continue Reading

EEOC Issues New Guidance on Pregnancy Benefits

The Equal Employment Opportunity Commission has issued new enforcement guidance explaining when an employer’s policies affecting pregnant employees might violate federal law.  The new guidance appears in an updated chapter of the EEOC’s enforcement manual, and in a related set of questions and answers.  Among other topics, the new guidance addresses the rights of pregnant … Continue Reading

Compliance Strategies for Employee Assistance Programs

If an employee assistance program (“EAP”) provides counseling for substance abuse, stress, depression, and similar health problems, the Labor Department and IRS regard it as a group health plan.  Unless the EAP qualifies for an exception, it will have difficulty complying with the group health plan coverage requirements and other mandates. Recent guidance from the … Continue Reading

New Guidance Clarifies Minimum Essential Coverage Rules

Starting in 2014, most individuals must maintain minimum essential health coverage or pay a penalty.  (Please see our post here for a description of the health coverage mandates that apply to individuals and their families.)  The Internal Revenue Service recently issued a proposed regulation clarifying the minimum essential coverage rules and other aspects of the … Continue Reading

IRS Issues Special Administrative Procedures for DOMA Tax Refund Claims by Employers

The IRS issued a notice today setting forth special procedures by which employers may claim a refund of FICA taxes that were paid on employee benefits solely because of the application of the Defense of Marriage Act (“DOMA”).  Section 3 of DOMA prohibited the IRS from recognizing same-sex marriages for federal tax purposes and was … Continue Reading

Celebrating the Arrival of Windsor Guidance: Same-Sex Marriages Will Be Recognized For Federal Tax Purposes Based on Place of Celebration

The IRS issued guidance today defining same-sex marriage for purposes of federal tax rules.  Following the Supreme Court’s decision in United States v. Windsor last June invalidating section 3 of the Defense of Marriage Act (DOMA), federal law no longer limits the definition of marriage to opposite sex spouses.  However, the Windsor decision did not … Continue Reading

Supreme Court’s DOMA Decision Has Significant Implications for Employers and Employee Benefit Plans

Earlier today in United States v. Windsor, the Supreme Court struck down section 3 of the federal Defense of Marriage Act (“DOMA”).  Section 3 of DOMA limits the definition of marriage for purposes of federal law to marriage between individuals of the opposite sex.   The Court held that DOMA deprives same sex couples of due … Continue Reading

Employers Increasingly Allow Use of Personal Devices, Raising Tax Issues

Our colleagues at InsidePrivacy recently observed that employers are increasingly giving employees access to work email and apps on their personal devices.  In a recent survey, 38 percent of CIOs said that their organizations will stop providing laptops, smartphones, and tablets to workers by 2016.  As our colleagues noted, Bring Your Own Device (“BYOD”) policies … Continue Reading

Fiscal Cliff Legislation Extends Tax Advantages for Popular Fringe Benefits, Expands In-Plan Roth 401(k) Conversions

The United States government narrowly avoided falling over the so-called “fiscal cliff” by enacting the American Taxpayer Relief Act of 2012 (“ATRA”).  ATRA’s impact on tax rates has been covered extensively in the national media.  ATRA also included several employee benefit provisions that are of interest to employers and their employees. … Continue Reading

Are the Educational and Adoption Assistance Tax Exclusions Going to Expire?

Regardless of how the so-called fiscal cliff is “resolved” – and whether this occurs before the end of 2012 – the expiration of educational assistance and adoption assistance tax provisions at the end of this year is already causing headaches for employers who provide (or hope to provide) their employees with these tax-advantaged benefits.  However, … Continue Reading
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