Qualified Employee Benefit Plans

a) Under an employees are permitted to make pre-tax contributions to an account for reimbursement of health and/or dependent care expenses. However, any unused amounts in the account at the end of the year are forfeited.

Flexible spending account (FSA)

Health reimbursement arrangement (HRA)

Health savings account (HAS)

Individual retirement account (IRA)

b) A restaurant chain offers the following benefits to its employees. Which represents an excludable de minimis fringe benefit under $132?

Annual employee picnic.

Employer-provided coffee and donuts

Meal discount at any restaurant chain

Both a and b.

All of the above

c) Under $83, property received for services is restricted to property if it is:

Subject to a substantial risk for forfeiture.

Immediately transferable by the recipient but held outside the United States.

Not immediately transferable by the recipient.

Both a and b.