Tax reform law makes changes to employee achievement award rules

The IRS reminds employers that last year’s Tax Cuts and Jobs Act made changes to several programs that can affect an employer’s bottom line and its employees’ deductions. This includes employee achievement awards. Here are some facts about these changes: Under previous law: Employers could deduct the cost of certain employee achievement awards. Deductible awards were excludible from employee income. Under the Tax Cuts and Jobs Act: There is now a prohibition on cash, gift cards and other non-tangible personal property as employee achievement awards. Special rules allow an employee to exclude certain achievement awards from their wages if the awards are tangible personal property. The new law clarifies that tangible personal property doesn’t include cash, cash equivalents, gift cards, gift coupons, certain gift certificates, tickets to theater or sporting events, vacations, meals, lodging, stocks, bonds, securities, and other similar items.
More information: Tax Cuts and Jobs Act: A Comparison for businesses Employer Update
Share this tip on social media — #IRSTaxTip: Tax reform law makes changes to employee achievement award rules https://go.usa.gov/xPSvY  
Helping businesses be more successful.

Questions or Request? Please email us at: Info@WindhamChamber.com

Windham Region Chamber of Commerce
1010 Main St., P.O. Box 43
Willimantic CT 06226
Phone: (860) 423-6389
Fax: (860) 423-8235

Corporate Sponsors

Hit Music i98.3 Logistics Consulting Eversource
Gutter Guys
WILI 1400 AM

A very special thank you to our Corporate Sponsors for your dedication and continued support to our region.

We ♥ Feedback

We value your opinion, please let us know if you want to see more of something you like or how we can improve upon anything!


   Submit Feedback

Connect With Us

We accept the following payment: