Employee Income

by Lori Buchter
(Visalia, CA USA)

Our church employees receive a discounted rate for their children enrolled in our Preschool (2 - 4 years old).

Is the difference in the discounted rated declared as income for tax purposes?

Does a preschool fall under section 170(b)(1)(a)(ii) of the tax code?

Should the this be reported on the employee's W2?

Click here to post comments

Join in and write your own page! It's easy to do. How? Simply click here to return to Church Accounting FAQs.

Need training on how to use QBO or Aplos effectively for a church or better yet ...need an expert in either of those accounting software to do your monthly bookkeeping and/or payroll? See more on our accounting services!

Enjoy this page? Please pay it forward. Here's how...

Would you prefer to share this page with others by linking to it?

  1. Click on the HTML link code below.
  2. Copy and paste it, adding a note of your own, into your blog, a Web page, forums, a blog comment, your Facebook account, or anywhere that someone would find this page valuable.