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| IRS Provides Guidance on Taxation of Increased Dependent Care Reimbursement Accounts Kushner & Company  [Guidance Overview] May 12, 2021 "[If] a participant was allowed to carryover unused DCRA funds from 2020 to 2021, and from 2021 to 2022, and then was reimbursed for eligible expenses exceeding $10,500 in either calendar year 2021 or 2022 ... the annual allowable excludable limit for actual reimbursements from a DCRA on an employee's individual tax return was still $10,500 for 2021 and 2022. On May 10, 2021, the IRS solved these problems with Notice 2021-26." |
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