TaxReturnGuide.com Forum Index
 
 FAQFAQ   SearchSearch   MemberlistMemberlist   UsergroupsUsergroups   RegisterRegister   ProfileProfile   Log in to check your private messagesLog in to check your private messages   Log inLog in 

CA VPDI benefits - taxable?

 
Post new topic   Reply to topic    TaxReturnGuide.com Forum Index -> Taxes - Moderated
Author Message
Chris



Joined: 25 Aug 2007
Posts: 9

PostPosted: Tue Mar 08, 2005 5:12 pm    Post subject: CA VPDI benefits - taxable? Reply with quote

I have two related questions on CA VPDI benefits, but much
of the 2nd depends on the answer to the first. Here it
goes...

1. My wife paid into her company's VPDI instead of CA SDI.
She then received $775 in benefits. Since this is VPDI
instead of SDI paying this amount, is this amount taxable
both to the federal and CA governments? Is it like SDI in
which it's federally taxed, but not state taxed?

2. Actually, there's a bit more to #1 above. By a mixup in
her company's claim processing, she was told to file with
the state for the benefits. The $775 actually came from the
state and we received a 2004 1099-G from CA for this amount.
In February 2005, the state contacted both my wife and her
company about the mixup and the resolution was that her
company would reimburse the state for that amount, in
essence taking over the payout claim. Assuming there is a
*difference* between how SDI and VPDI benefits are taxed
(answer to #1 above), how would this be handled tax-wise,
considering:

a. The state paid the benefit in 2004.
b. The state is getting its money back in 2005.
c. The company is paying the benefit in 2005.

Would we:

d. Get the state to revoke its (or issue a revised) 2004
1099-G and get the equivalent 2004 VPDI benefits tax form,
or

e. Keep the 2004 state 1099-G, get a new one for 2005 that
revokes this amount and get a 2005 VPDI benefits tax form.

Regards,
Chris

>
>
>
>

Archived from group: misc>taxes>moderated
Back to top
View user's profile Send private message
Chris



Joined: 25 Aug 2007
Posts: 9

PostPosted: Thu Mar 10, 2005 4:17 am    Post subject: Re: CA VPDI benefits - taxable? Reply with quote

Chris wrote:

> I have two related questions on CA VPDI benefits, but much
> of the 2nd depends on the answer to the first. Here it
> goes...
>
> 1. My wife paid into her company's VPDI instead of CA SDI.
> She then received $775 in benefits. Since this is VPDI
> instead of SDI paying this amount, is this amount taxable
> both to the federal and CA governments? Is it like SDI in
> which it's federally taxed, but not state taxed?

(update) Ignore the last sentence about "like SDI" (more
below). However, the rest of the paragraph I'm hoping
someone will answer.

> 2. Actually, there's a bit more to #1 above. By a mixup in
> her company's claim processing, she was told to file with
> the state for the benefits. The $775 actually came from the
> state and we received a 2004 1099-G from CA for this amount.

(update) Some confusion on my part that I'd like to clarify.
The mixup wasn't that my wife filed for state SDI benefits,
but rather California's "paid family leave extension" which
is treated as unemployment income and thus taxable (by the
IRS, not CA). She was supposed to file for VPDI. If anyone
is taking on this question, please consider this info
instead going forward.

Thank you.

>
>
>
>

Back to top
View user's profile Send private message
Display posts from previous:   
Related Topics:
California VPDI vs SDI deductability I've seen a lot of debate on this topic over the years--not to rehash the whole debate (search google for "VPDI SDI" for more), but I work in CA for a company that offers a VPDI short-term disability plan with the same exact costs (but slightly better ben

Fringe Benefits - C Corp Facts: Just discovered, after taking tax seminar, and asking C-Corp Client, who's business is a selling paint, the following questions RE: Personal use of company vehicles: 1. Following vehicles: Acquired: 10/23/2002 - 2002 Ford Explor

Dependent Care benefits on W-2 Box 10 We are working our 2441 form, and wondering if someone knows the answer of our question. i have a flexible account with my employer that pays for some of our dependent care expenses. Some of the expenses were incurred within the year but they were reimbur

LLC Member Fringe Benefits I am considering creating an LLC in Colorado. My wife and I would like be partners, but I am concerned that by doing so, we will not be able to take advantage of many non taxable fringe benefits that would be available to owners of C corps. From what I

Tax Benefits Of Microsoft $32B Dividend A fascinating article from the favorite newspaper of certain contributors who shall remain unidentified. << << The Charter and the Guidelines for
Post new topic   Reply to topic    TaxReturnGuide.com Forum Index -> Taxes - Moderated All times are GMT
Page 1 of 1

 
Jump to:  
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum


Powered by phpBB © 2001, 2005 phpBB Group