Shutterstock It’s my annual “Taxes from A to Z” series! If you’re wondering whether you can claim home office expenses or whether to deduct a capital loss, you won’t want to miss a single letter. U is for Unused Sick Leave If you have paid sick leave at your company, you’re in the minority: There are no federal legal requirements for paid sick leave. However, some workers – those at companies subject to the Family and Medical Leave Act (FMLA) – are entitled to unpaid sick leave. Typically, paid sick leave is taxable as regular income and is subject to withholding. In most cases, if you receive sick pay from your employer on an “as you get sick” basis, your sick pay isn’t distinguishable from your regular wages and is subject to withholding at your normal rate. If you receive sick pay from a third party who isn’t your employer nor acting as an agent of your employer, taxes are withheld only if you choose to…
Read more detail on Recent Tax Law posts –
