Which of the following statements concerning a group carve-out plan is (are) correct? 1).The coverage is available on a discriminatory basis. 2).The employer deducts the premium cost, which is not taxable income for the employee. 3).A double bonus plan can overcome the executive’s dislike of the taxation of the policy premium. 2 only. 1 and 3. 2 and 3. 1, 2, and 3.

Which of the following statements concerning a group carve-out plan is (are) correct? 1).The coverage is available on a discriminatory basis. 2).The employer deducts the premium cost, which is not taxable income for the employee. 3).A double bonus plan can overcome the executive’s dislike of the taxation of the policy premium. 2 only. 1 and 3. 2 and 3. 1, 2, and 3.

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter9: Payroll, Estimated Payments, And Retirement Plans

Section: Chapter Questions

Problem 1MCQ

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