QUESTION 21 Which one of the following statements is correct concerning fringe benefits provided by an employer? Fringe benefits are generally taxable to employees and deductible to the employers. All fringe benefits are tax deductible by the employer and tax exempt to the employees Some fringe benefits may be tax-exempt up to a certain amount but taxable to employees above the government stipulated amount. When health insurance premiums are provided as nontaxable fringe benefits, health insurance payments for medical bills or reimbursements for medical costs are taxable to employees