Submitted By: someone
Answered: May 6, 2019 9:49 pm

I received $1,000 from my employer in lieu of taking company health coverage. Since this was not for work performed, do I have to report this as income?

Yes. There is no exclusion from income for the payment from an employer to an employee who opts not to take company health coverage.

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Tax Glossary

Keogh plan

Retirement plan set up by a self-employed person, providing tax-deductible contributions, tax-free income accumulations until withdrawal, and favorable averaging for qualifying lump-sum distributions.

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