Starting in 2014, an employer’s reimbursement or payment of individual healthcare insurance premiums became deemed as taxable income. Only employer-provided group health insurance continues to be recognized as pre-tax benefit. See the FCMM website, News and Perspectives, for more information. It will be essential for churches to report this income properly on W-2s and 941s, and for affected staff to be prepared for resulting increased tax liability.
News & Articles
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Alert: Make Sure W2 Reporting is Correct for Healthcare Premiums
Date: November 21, 2014
Income reporting and increased tax liability are result of Affordable Care Act rule for individual healthcare plans.
