USSERA Tax Reporting

[Guest cjk]

As I understand USERRA, the law allows the employer to report "make-up" elective deferrals, those attributable to time spent on military leave, to be reported on the W-2 form or on a "separate statement." The W-2 form booklet provides instructions and codes as to how to report the USERRA contributions. My question pertains to the "separate statement". How pervalent is using a "separate statement" as compared to the W-2? I am suggesting that the client report the USERRA contributions on the W-2 but their payroll department is providing significant push-back. I am trying to determine what is the "norm" and or "best practice" in this area.