Ask Experts Questions for FREE Help !
Ask
    guscusi's Avatar
    guscusi Posts: 65, Reputation: 1
    Junior Member
    		  
    #1

    Aug 29, 2014, 09:30 AM
    HRA deductions C Corp.
    Hello,

    We are a C Corp. hiring 2 perople, myself & my wife. I am the sole owner. We have a HRA plan, where the C Corp. reimburses the IRS-allowed medical & dental bills. Due to IRS Notice 2013 54, employers seem to now be limited to reimburse most medical costs, staring on 01/2014, except for very limited exceptions. Some exceptions are in Section 105. like dental and vision, among others, and One-employee plans.
    Question: I have read somewhere that another exemption would be for small businesses that employ the wife, so the medical expenses for wife and sons are also allowed.

    1) Since we are a 2 person C Corp and I employ my wife, can we still reimburse allowed expenses? Is this accurate, and is this accurate for a C Corp.
    2) All references backing you replies with IRS laws. Codes, etc.. Will be greatly appreciated.

Check out some similar questions!

W2 vs. Corp-to-Corp, Single member LLC w/S Corp election [ 1 Answers ]

I live in Washington state and I have a fulltime w2 salaried job with full benefits (health, retirement, etc.) and say I make about 150K in salary+bonus. I am starting a second job as a hourly contractor where I am expecting to make say about another 150K if I go for corp-to-corp or 140K if I go...

Ex did not transfer all stock in close corp-still responsible corp debt? [ 0 Answers ]

I was to receive all stock in 2 closely held corps in div settlement.Years ago when we formed trusts we voided original 100 in his personal name, issued 2 new for 50 each to each of our trusts. He filed amended FA I never saw claiming owned 150 as he never signed bk of 100, claimed nonmarital, as...

1099 rate vs corp-to-corp rae [ 0 Answers ]

Hello, I've been a 1099 IT consultant for 6 years - making $105/hr. Now a company wants me to do corp-to-corp. From what I make now - what would be a rough estimate on a corp-to-corp rate?

Explain me the you.S Tax Terms (W2, 1099, Corp to Corp). [ 4 Answers ]

Hi there, Could anyone please explain me what does these U.S Tax Terms (W2, 1099, Corp to Corp). Looking forward for a good explanation. Thanks, Sam.

Me and my spouse own 100% of stock in my c corp. Can the corp pay us dividends? [ 0 Answers ]

Is it deductible to my corporation and how do I compute this number

View more questions Search
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.