Discussion:Employer treatment of employee use of co auto
From TaxAlmanac, A Free Online Resource
Note: You are using this website at your own risk, subject to our Disclaimer and Website Use and Contribution Terms.
From TaxAlmanac
Discussion Forum Index --> Basic Tax Questions --> Employer treatment of employee use of co auto
Discussion Forum Index --> Tax Questions --> Employer treatment of employee use of co auto
| 3 December 2007 | |
| When the employer adds the personal use of the company auto to their W-2 How does the employer treat the entry
do they DR wages and CR auto expense or do they DR wages and CR other income. and is there an authority to the method Neil | |
| 4 December 2007 | |
| why not make an adjustment to the Schedule M and CR balance sheet item | |
| 4 December 2007 | |
| Hello Neil.....sorry but if the company auto is being paid for by the business, then of course you will credit the auto expense for the reimbursement in the form of salary. Why credit a b/s item? And this should be a book item as well as a tax item in my opinion.
Reduce the expenses by the amount that you are diverting to the employee....I agree with Wayne :) | |
| 5 December 2007 | |
| Why would it matter whether you credit auto expense or misc income? Either way there is no impact on taxable income of the ER and an increase to taxable wages of the EE. | |
To join in on this discussion, you must first
log in.
