We didn't receive a separate 1099 for these reimbursements. I just wanted to know if we need to report them as income, particularly meals, as he only spent a little and they reimbursed him for more than that. And if we do report them as income, how do we report them?
You'll need to sign in or create an account to connect with an expert.
It depends whether or not this is an accountable or non-accountable plan.
With a non-accountable reimbursement plan, your reimbursement should be included in your taxable income. In that case, you are allowed to deduct all your employee expenses "as if" you received no reimbursement.
An accountable plan is a plan where an employee typically would submit a monthly expense report for reimbursement. A plan under which an employee is reimbursed for expenses or receives an allowance to cover expenses is an accountable plan only if the following conditions are satisfied:
The alternative to an accountable plan is an allowance or nonaccountable plan. By definition, a nonaccountable plan is one that does not meet the requirements of an accountable plan. Routinely these plans involve the employer providing a set amount, or an allowance, to the employee for travel. The employee does not account to the employer for the expenditure of these funds. Amounts paid under a non-accountable plan are income to the employee and must be included in wages with appropriate tax withholdings. An employer can have an accountable plan for some items, and a non-accountable plan for others.
It depends whether or not this is an accountable or non-accountable plan.
With a non-accountable reimbursement plan, your reimbursement should be included in your taxable income. In that case, you are allowed to deduct all your employee expenses "as if" you received no reimbursement.
An accountable plan is a plan where an employee typically would submit a monthly expense report for reimbursement. A plan under which an employee is reimbursed for expenses or receives an allowance to cover expenses is an accountable plan only if the following conditions are satisfied:
The alternative to an accountable plan is an allowance or nonaccountable plan. By definition, a nonaccountable plan is one that does not meet the requirements of an accountable plan. Routinely these plans involve the employer providing a set amount, or an allowance, to the employee for travel. The employee does not account to the employer for the expenditure of these funds. Amounts paid under a non-accountable plan are income to the employee and must be included in wages with appropriate tax withholdings. An employer can have an accountable plan for some items, and a non-accountable plan for others.
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
Mountain Pursuits
New Member
insurancelady86
New Member
shiyi11
Level 2
Andy_W
Level 1
Dchackert
New Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.