If your employer provides a benefit to you it might be taxed.
Any fringe benefit you provide is taxable and must be included in the recipient's pay unless the law specifically excludes it. Section 2 discusses the exclusions that apply to certain fringe benefits. Any benefit not excluded under the rules discussed in section 2 is taxable.
Question from a caller: If you receive proceeds from settlement of a lawsuit, you may have questions about whether you must include the proceeds in your income. . . https://www.irs.gov/pub/irs-pdf/p4345.pdf
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