DGS Sold
#23
New Hire
Joined: Nov 2018
Posts: 4
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Employees and immediate family are exempt under federal law from imputed taxes on airline passes. Passes given to those outside of immediate family either have to pay what the IRS considers a reasonable charge or pay imputed income on the value of the tickets. This is a IRS not Delta rule and consistent with how perks like a company car are taxed in any business.
The only miracle is that we have been able to hold onto the exemption for immediate family!
The only miracle is that we have been able to hold onto the exemption for immediate family!
#24
Gets Weekends Off
Joined: Jul 2013
Posts: 12,533
Likes: 1,129
I think that means they'd calculate the buddy pass yield fare and then instead of charging that to the employee, they'd put that amount into income for the purpose of taxing it. So a $200 fee would be treated like $200 of income and you'd pay whatever taxes you'd owe for that amount in conjunction with the rest of your income etc.
#26
Gets Weekends Off
Joined: Jul 2010
Posts: 12,833
Likes: 172
From: window seat
As to wether or not that is how they actually chose to do it, I'm not sure. I was just speculating one way as to how they could if they wanted to based on what was said about the new system so far.
#28
Gets Weekends Off
Joined: Dec 2006
Posts: 2,370
Likes: 0
From: 737 FO
Employees and immediate family are exempt under federal law from imputed taxes on airline passes. Passes given to those outside of immediate family either have to pay what the IRS considers a reasonable charge or pay imputed income on the value of the tickets. This is a IRS not Delta rule and consistent with how perks like a company car are taxed in any business.
The only miracle is that we have been able to hold onto the exemption for immediate family!
The only miracle is that we have been able to hold onto the exemption for immediate family!
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Badgeman
Flight Schools and Training
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03-19-2010 01:09 PM




