IRS clarifies: Work cellphones are not taxable perks

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The Internal Revenue Service issued a notice clarifying that employer-provided cellphones are not taxable perks.

The Small Business Jobs Act of 2010 removed cellphones from the definition of "listed property," a category that normally requires additional record keeping by taxpayers. The IRS notice clarified that as a result of the law, when a business provides an employee with a cellphone to use for work, that phone is generally not a taxable benefit.


IRS clarifies: Work cellphones are not taxable perks