Explore jobs
Find specific jobs
Explore careers
Explore professions
Best companies
Explore companies
This question is about salaries.
What is taxable compensation?
Taxable compensation is generally considered any payment made to or earned by an employee from an employer. Regardless of whether compensation is termed a payment, fee, or commission, all are considered taxable compensation.
Nearly all employment payments are considered taxable compensation. Paid vacations and maternity/paternity leaves are considered taxable, as are any gifts, cash or otherwise, that can be related to employment. If a salesperson receives a new car as a year-end bonus in lieu of cash, the monetary value of the vehicle is considered taxable compensation.
There are several exceptions that are not considered taxable. Employee compensation for business expenses is not considered taxable compensation. These include clothing, travel expenses, and materials necessary to perform one's job. Gifts given outside of the scope of business or the workplace are not subject to taxation. Wedding gifts given to employees and Christmas gifts given during the holiday season are not taxable compensation.
Choose from 10+ customizable resume templates
Zippia allows you to choose from different easy-to-use templates, and provides you with expert advice. Using the templates, you can rest assured that the structure and format of your resume is top notch. Choose a template with the colors, fonts & text sizes that are appropriate for your industry.
