Cafeteria Plans Get Full-Menu Regs


The IRS updated, clarified and consolidated several previously issued proposed regulations concerning employee benefits under IRC section 125, better known as cafeteria plans. The new sections in REG-142695-05 clarify the definition of a cafeteria plan and guidance changes since the superseded regulations were published (the earliest in 1984) and include new guidance on debit cards and grace periods for using flexible spending arrangements after the end of a plan year. Comments on the regulations and three outstanding issues are requested by Nov. 5 at www.regulations.gov .

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Why CPAs can’t wait on automation tools

What do accounting firms waiting on others to develop AI, automation, and data analytics tools have in common with a baseball fan sitting in a stadium filling with water at an exponential rate? The answer could determine your firm’s fate.