It’s time to start gathering year-end items needed for the preparation of your 2018 S-Corporation tax return! Please review the items below and send the information needed to our office by December 21st. If you use a payroll service outside of Hyde & Company, please ensure the information provided to us is reflected on your year-end payroll forms.
Taxable fringe benefits from the personal use of a company automobile must be included as compensation on a W-2 and other payroll tax forms. An employee is responsible for the employee portion of the Social Security and Medicare taxes. Federal income tax should also be withheld; please let us know if you elect out of federal income tax withholding on this fringe benefit.
Description of Automobile (make, model & year)
Total Miles Driven in 2018
Personal % Use of Auto
Accident and health insurance premiums paid by an S corporation on behalf of a greater than 2% shareholder-employee must be included in the shareholder’s taxable income, subject to income tax withholding. However, the premiums are not subject to Social Security, Medicare, and unemployment taxes if insurance coverage was offered on a nondiscriminatory basis to all employees. The portion of the premium paid by the shareholder-employee is not included in compensation.
Amount Paid by S Corp in 2018