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Populist_Prole

(5,364 posts)
Tue Apr 9, 2013, 02:07 PM Apr 2013

Tax question: Imputed income of benefits

Is it taxed by the state or is it federal? What is a typical percentage rate it's taxed at?

The reason I ask is I have a friend who is legally able to enjoy a perk offered by my employer, however, for that perk I am taxed as it is added to my paycheck as imputed income. In this case, a couple of hundred dollars. I'd like to know because my friend wants to compensate me for what it might cost me. I don't want to pull a number out of thin air and overcharge her or conversely, get skint myself.

Thanks

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Tax question: Imputed income of benefits (Original Post) Populist_Prole Apr 2013 OP
IIRC it affects the federal and state tax calculations on your check. M0rpheus Apr 2013 #1
Thanks for your answer Populist_Prole Apr 2013 #2

M0rpheus

(885 posts)
1. IIRC it affects the federal and state tax calculations on your check.
Thu Apr 11, 2013, 01:44 PM
Apr 2013

The tax rate would depend on your bracket. It's taxed as regular income.
If it's only a couple hundred in Imputed Income a year, $40-50 would likely cover it.

*I'm not a tax professional, but I spent too many years explaining Imputed Income to employees of a few large companies. And, I did stay at a Holiday Inn Express once.

Populist_Prole

(5,364 posts)
2. Thanks for your answer
Sun Apr 14, 2013, 02:34 AM
Apr 2013

I was just looking for a general ballpark idea, and so now I have one thanks to you.

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