[Shel_178]

Hi everyone! I recently finished taking the CPA exam and passed 3 of the 4 sections during 2013. The policy where I work is that once you pass a section they give you a $200 “bonus” to cover the cost of taking the exam. I’m pretty sure that the $600 that I received for passing those sections was included in my W-2 income. Is this correct? I spent $800+ having to take all sections (one section twice) and this was IMO an expense reimbursement. Anyone have any experience with this? Any guidance would be greatly appreciated. Thanks in advance!!!

REG - 86
FAR - 80
BEC - 79
AUD - 92...I'm done woohoo!

Licensed CPA since Feb. 2014

[Anonymous]

This is REG (I can hear Tim Gearty reciting this in my head now) – accountable employee reimbursement plan vs non-accountable employee reimbursement plan.

You received a non-accountable reimbursement because they gave you a general amount, and you were not required to pay back the excess over the expense amount. Plus, (I'm guessing by your post) it does not seem like they required you to send in a receipt (substantiation). All of these together make this a non-accountable plan (taxable), as opposed to an accountable plan (non-taxable).

[Author]

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