With the combination of our nation’s response to COVID-19 and the resultant economic downturn, employers of all sizes face the moral and financial dilemma of evaluating employee headcounts while businesses are grappling with the reality of the current situation. Many employers are considering furloughs, or other types of approved leaves of absences, to reduce immediate
Leave sharing
Implications of COVID-19 on Your Health and Welfare Benefit Plans
By Natalie M. Nathanson on
Posted in coronavirus, covid-19, hdhp, HRA, IRS, leave donations, Leave sharing, Medical Plans, Plan Administrator, Uncategorized
Employers are grappling with employee benefit issues in response to the 2019 Novel Coronavirus (“COVID-19”). Efforts are being made to pave the way for widespread testing by eliminating cost barriers such as deductibles, copayments, coinsurance, or High Deductible Health Plan restrictions to ensure employees and their families are proactively being diagnosed once symptoms present, to…
Using Leave Sharing Plans with COVID-19
By Bruce H. Schwartz on
The IRS has issued specific guidance for the tax treatment of a leave-sharing arrangement that permits employees to donate PTO/ leave/vacation time in an employer-sponsored leave bank for use by other employees adversely affected by an event declared a major disaster or emergency by the President. See IRS Notice 2006-59.
TAX TREATMENT OF DONATING …