3 ms·
Depends on where you are. Benefits such as free food are taxable in some places.
by imposterr 6y ago
Depends on where you are. Benefits such as free food are taxable in some places.
- hawaiianbrah 6y agoReally? Where? I hadn’t considered that.
- dogma1138 6y agoIn most countries it’s considered a BIK so the value of those benefits is added to your taxable income, I don’t know how it works in the US and while it might no affect your federal income tax it might affect your local/state income taxes. Food, car allowances/company car, travel and gym vouchers and virtually any other kind of benefit are taxed all over the world it’s also one of the easiest things to tax since the company knows how much it’s paying per head for each of those items. Basically if it’s an expense that can be expensed for normal business reasons it’s not a BIK but anything else is taxable. For food specifically if it’s just your normal lunch it’s a BIK if it’s a lunch while traveling for business or performing another business related activity such a business lunch with a client it’s an allowable expense.
- rawrfml 6y agoJust a concrete example. Back when I worked for Square, lunch used to be $x. This was reimbursed on your paycheck and thus subject to income tax.