Scribd Logo
Upload

Welcome to Scribd!

  • 95 views

    De Minimis Benefits

    Uploaded by

    Eduard Riparip
    De minimis benefits provided by employers to employees are generally small valued facilities or privileges meant to promote employee health, goodwill, contentment, or efficiency. Such benefits are exempt from fringe benefit taxes. Specific benefits considered de minimis and not subject to income tax include: monetized unused vacation leave up to 10 days; medical cash allowances up to ₱1,500 per semester or ₱250 per month; rice subsidies up to ₱2,000 per month; uniforms up to ₱6,000 annually; medical assistance up to ₱10,000 annually; laundry allowances up to ₱300 per month; achievement awards up to ₱10,000 annually

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    De Minimis Benefits

    Uploaded by

    Eduard Riparip
    95 views1 page
    De minimis benefits provided by employers to employees are generally small valued facilities or privileges meant to promote employee health, goodwill, contentment, or efficiency. Such benefits are exempt from fringe benefit taxes. Specific benefits considered de minimis and not subject to income tax include: monetized unused vacation leave up to 10 days; medical cash allowances up to ₱1,500 per semester or ₱250 per month; rice subsidies up to ₱2,000 per month; uniforms up to ₱6,000 annually; medical assistance up to ₱10,000 annually; laundry allowances up to ₱300 per month; achievement awards up to ₱10,000 annually

    Original Title

    De minimis benefits

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    De minimis benefits provided by employers to employees are generally small valued facilities or privileges meant to promote employee health, goodwill, contentment, or efficiency. Such benefits are exempt from fringe benefit taxes. Specific benefits considered de minimis and not subject to income tax include: monetized unused vacation leave up to 10 days; medical cash allowances up to ₱1,500 per semester or ₱250 per month; rice subsidies up to ₱2,000 per month; uniforms up to ₱6,000 annually; medical assistance up to ₱10,000 annually; laundry allowances up to ₱300 per month; achievement awards up to ₱10,000 annually

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    95 views1 page

    De Minimis Benefits

    Uploaded by

    Eduard Riparip
    De minimis benefits provided by employers to employees are generally small valued facilities or privileges meant to promote employee health, goodwill, contentment, or efficiency. Such benefits are exempt from fringe benefit taxes. Specific benefits considered de minimis and not subject to income tax include: monetized unused vacation leave up to 10 days; medical cash allowances up to ₱1,500 per semester or ₱250 per month; rice subsidies up to ₱2,000 per month; uniforms up to ₱6,000 annually; medical assistance up to ₱10,000 annually; laundry allowances up to ₱300 per month; achievement awards up to ₱10,000 annually

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 1

    De minimis benefits

    The term "de minimis benefits" which is exempt from the fringe benefit tax shall, in
    general, be limited to facilities or privileges, furnished or offered by an employer to
    his employees, provided such facilities or privileges are of relatively small value and
    are offered or furnished by the employer merely as a means of promoting the health,
    goodwill, contentment, or efficiency of his employees.

    De Minimis benefits not subject to income tax (limits)


    Under the Revenue Regulation 8-2000, the following shall be considered as
    “de minimis” benefits not subject to income tax as well as withholding tax on
    compensation income of both managerial, and rank and file employees:
    1. Monetized unused vacation leave credits of private employees not exceeding
    ten (10) days during the year;
    2. Monetized value of vacation and sick leave credits paid to government
    officials and employees;
    3. Medical cash allowance to dependents of employees, not exceeding P1,500
    per employee per semester or P250 per month;
    4. Rice subsidy of P2,000 or one sack of 50kg. rice per month amounting to not
    more than P2,000;
    5. Uniform and clothing allowance not exceeding P6,000 per annum
    6. Actual medical assistance, e.g., medical allowance to cover medical and
    healthcare needs, annual medical/executive check-up, maternity assistance,
    and routine consultations, not exceeding P10,000.00 per annum;
    7. Laundry allowance not exceeding P300 per month;
    8. Employees achievement awards, e.g., for length of service or safety
    achievement, which must be in the form of a tangible personal property other
    than cash or gift certificate, with an annual monetary value not exceeding
    P10,000 received by the employee under an established written plan which
    does not discriminate in favor of highly paid employees;
    9. Gifts given during Christmas and major anniversary celebrations not
    exceeding P5,000 per employee per annum;
    10. Daily meal allowance for overtime work and night/graveyard shift not
    exceeding twenty-five percent (25%) of the basic minimum wage on a per
    region basis;
    11. Benefits received by an employee by virtue of a collective bargaining
    agreement (CBA) and productivity incentive schemes provided that the total
    annual monetary value received from both CBA and productivity incentive
    schemes combined do not exceed ten thousand pesos (Php10,000.00) per
    employee per taxable year.

    You might also like