RobertB4444
Expert Alumni

Get your taxes done using TurboTax

It should not be included on your W2 as a separate line item.  The amount should be included as part of the compensation that you received in box 1 if your W2.  

 

So your salary for the year may have been 50K and the discount may have been worth 10K then your W2 for the year in question would show 60K.  

 

It is treated just like you received extra paychecks and you must pay social security and medicare tax on it as well.

 

@myfinance-ng 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"