Legal Update – IRS Allows Leave Donation Programs for Covid-19
July 7, 2020
Employer-sponsored leave-donation programs allow employees to forgo their accrued paid leave in exchange for cash donations that the employer makes to charitable organizations. To avoid negative tax consequences for the employees who donate their unused paid leave, the IRS has issued guidance on specific types of leave-sharing and donation programs. Recently, the IRS has issued guidance that employee leave donated through employer-based programs to charities for COVID-19 relief will not be taxed as income to the donor employees.
Read the Legal Update HERE.