Domestic Partner

[Guest talisa]

Hi,

I was hoping that someone would be able to tell me how to calculate the portion of the domestic partner benefit that should be included as taxable earnings. Is it the portion of the benefit that the company pays for? What part of the actual deduction can not be pre tax? I appreciate any and all help.

Thank you.

Talisa

[david rigby]

Maybe I'm the only reader with this problem,

but what are you talking about?

[Everett Moreland]

I've advised clients on this, and the answer depends on the facts. I recommend that you hire a local employee benefits lawyer. You are unlikely to get a correct answer from a bulletin board where the answer depends on complex facts and on state income tax law.

[GBurns]

Please enlighten us. I also would like to know what you are talking about.

What type of benefit?

What state income tax law?

[Sandra Pearce]

Employer provided health care benefits for spouses and dependents of employees are allowed by IRS to be excluded from the employee's gross income. No such exclusion exists for benefits given to an employee for his domestic partner. The money paid by an employer for health care benefits for the employee's DP is income that is taxable.

[GBurns]

Why would you assume that the question pertains to health benefits?

[Sandra Pearce]

Just my interpretation of the question. Only Talisa knows the answer for sure.