Hal_Al
Level 15

Get your taxes done using TurboTax

Q. When I file my taxes this year is it possible to subtract that $2,000 from taxable income since under the IRS guidelines it would qualify as tax fee?

A.  No. To qualify as tax free, your employer must process the payment as such, when they pay you. 

 

What is your employer's explanation for not doing the full amount (up to $5250)?