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There would only be imputed income if your employer provided life insurance for your domestic partner. I don't mean that your partner would be the beneficiary - - I mean that your partner would be the insured party. If that happened, then the cost of the premium would be counted as imputed income for purposes of federal income tax and for some state taxes as well, unless your domestic partner were your dependent. If you were legally married heterosexuals, then there would be no imputed income except on the value of policies which exceed about $50,000.
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Why is imputed income deducted from your paycheck?
i have imputed income taken out of my check because a have a significant other on my insurance can i use this as a tax deduction
Can Florida stop you from getting insurance for you domestic partner if the insurance company said it was all right?
No. Some insurance companies offer domestic partner coverage in Florida and you are free to purchase such a policy. If your employer wants to buy coverage for you and your domestic partner, then it can. The state of Florida will not stop you. It may impose income tax on the value of the domestic partner coverage as "imputed income."
What is medical imputed income-domestic partner?
This term is used to identify the value of the medical insurance extended by your employer to your domestic partner. On the federal level and in several states, such extra coverage is considered taxable income and must be reported separately.
Does imputed income from domestic partner health insurance change your tax filing status?
No. For purposes of federal income tax, you must file as single if you are not legally married to a person of the opposite sex. The value of the DP coverage is imputed as income because the covered person is not your legal spouse under federal law.
What is medical imputed income?
This term is used to identify the value of the medical insurance extended by your employer to your domestic partner. On the federal level and in several states, such extra coverage is considered taxable income and must be reported separately.
Where do you enter imputed income on your tax forms?
It depends on the type of imputed income. If it is imputed interest, enter it where all other interest payments go (schedule B). If it is imputed life insurance income from your employer, that should already be included in box 1 of your W-2 and you should enter it on line 7 of your W-2. You enter it wherever non-imputed income of the same nature would go.
Does an employee pay Federal Income taxes on imputed income?
On certain (most) types of imputed income...imputed income just being a term for non cash compensation....say a car benefit or over a certain amount of life insurance provided as part of your employment.....etc. FICA and other payroll taxes may or may not follow the same rules considering it a income, but generally do.
What is a imputed tax?
Imputed federal income tax would be an income tax that the IRS has calculated on some type of imputed income that was received by you and not reported on your 1040 income tax form as a part of your worldwide gross income.
What is imputed income?
Income that may not be seen as cash, but instead comes in the form of a benefit...sometimes by having another pay an expense...sometimes by having a benefit provided. Examples: The value of a car provided by your employer that you may use for personal use. That value is imputed income. Likewise, the value of having some other benefits - over $50,000 a year of life insurance provided by your employer (the value of the insurance is imputed income). An employer sponsored (even if what it does just work to make the costs lower) of an on site cafeteria - imputed benefit. Having a below market rate loan...that some employers provide certain employees...the lower interest that they forgoe is a benefit to you...and hence imputed income.
Do you have to pay tax on life insurance when retire?
If your employer provides more than $50,000 in life insurance coverage for you, you will have to pay tax on what is called "imputed income" from the policies. Even after you retire, your employer will continue to send you a W-2 for the imputed income and showing the amount of uncollected Social Security and Medicare taxes you owe.
Is there a tax deduction for the cost of your domestic partner's health premiums?
No. In fact, your employer is likely to report this cost as "imputed income" which means you will have to pay tax on this amount. No tax is owed if your domestic partner is also you dependent for purposes of federal income tax.
How can you find out why imputed income is coming out your pay?
Imputed income is income that is the result of you providing services to yourself, such as owning a home rather than paying rent to another person. It is not normally a payroll deduction. In some cases you can be taxed on imputed income, and that might result in a payroll deduction. The best way to find out why imputed income is coming out of your pay is to ask the person who prepares the payroll about it.
