My husband has an employer-provided life insurance policy. The value is approximately $125,000. What is our tax obligation?
Th value of the premium paid by your employer is already included in box 1 of your W-2. It is itemized in box 12 with the code C. Only the premium for the portion over $50,000 is taxable.
It is effectively taxed at your marginal rate, probably 25%.
My husband has an employer-provided life insurance policy. The value is approximately $125,000. What is our tax obligation?
Th value of the premium paid by your employer is already included in box 1 of your W-2. It is itemized in box 12 with the code C. Only the premium for the portion over $50,000 is taxable.
It is effectively taxed at your marginal rate, probably 25%.
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