Hi,
I contributed $10,500 in DCFSA in 2021. I only used $5,636 and my employer allowed me to carryover the rest. I also got reimbursed the rest $40 in the 2020 DCFSA carryover to 2021. However, I found that I was taxed by those extra $40 carryover from 2020. Why the carryover DCFSA will be taxed? Will I face the same situation that being taxed when I do the 2022 tax return with the DCFSA carryover from 2021?
Thanks
