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An accountable employee expense reimbursement plan allows you to cover employees’ out-of-pocket business expenses via tax-free reimbursements or advances. The IRS says this type of plan must follow three rules to maintain its “accountable” (i.e., tax-free) status. But here’s the thing: following these rules can be costly and even complicated.
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Reimbursing employees for expenses is pretty straightforward, right? If you’re not following these three rules, things could get complicated.
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With a strong building market and a shortage of skilled workers, hiring and retaining quality tradesmen can be a constant challenge. In fact, many of our clients within the real estate and construction industry name staffing issues as one of their primary concerns.
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