IRS Issues Guidance on the Taxation of Dependent Care Benefits
By EsqSocial Corporation 17/05/21
On May 10, 2021, the IRS issued Notice 2021-26, which addresses the taxation of dependent care benefits, provided through a Code Section 129 dependent care assistance program (“DCAP”), available in taxable years ending in 2021 and 2022 due to the application of either the carryover or the extended grace period extension permitted by Section 214 of the Taxpayer Certainty and Disaster Tax Relief Act of 2020 (the “Act’), enacted on December 27, 2020, as Division EE of the Consolidated...
By: Murtha Cullina