Publication 15-B (2023), Employer's Tax Guide to Fringe Benefits
Publication 15-B serves as the Employer's Tax Guide to Fringe Benefits for 2023. It offers crucial information for employers regarding the tax treatment of fringe benefits, supplementing Pub. 15 and Pub. 15-A.
What's New In 2023?
- Cents-per-mile rule: The business mileage rate for 2023 is 65.5 cents per mile, applicable for employee reimbursements and valuing personal vehicle use.
- Qualified parking exclusion: Monthly exclusion for qualified parking is $300 for 2023.
- Contribution limit on health FSA: A $3,050 limit for health flexible spending arrangements in 2023.
- Tax law changes: P.L. 115-97 impacts moving expense reimbursements, bicycle commuting reimbursements, and withholding on supplemental wages.
Key Reminders
- Moving expenses: Qualified moving expense reimbursements are suspended, except for military personnel.
- Bicycle commuting reimbursements: Exclusion for qualified bicycle commuting reimbursements is suspended.
- Withholding on supplemental wages: Lowered federal income tax withholding rates apply.
- Form 1099-NEC: Employers use Form 1099-NEC to report nonemployee compensation by January 31, 2023.
Additional Information
- Definition of marriage: Recognition for federal tax purposes depends on state or foreign jurisdiction laws.
- Getting tax forms: Visit IRS.gov/Forms for current and prior-year forms.
- IRS partnership with NCMEC: Missing children photographs may appear in the publication.
For a detailed view of Employer's Fringe Benefits Guide, Publication 15-B, please refer to the attached PDF below. Alternatively, for the current year's Publication 15-B, click here.