2% S Corp Stockholder

[JON]

has his health insurance in box 1. I have looked at the chart for federal unemployment??? Is healt insurance add back to W-2s subject to federal (state MN) unemployment taxes. This shareholder is not over the limit. Not a good year.

OK three and halve months later I registered.

[veritas]

Not subject

to FUTA taxes. I doubt it it taxable for state unemployment.

[Brad Imsdahl]

Pub 15 B, page 5 says they are excluded for both FICA and FUTA.

As for Minnesota, this web site http://www.uimn.org/tax/pamph/scorp.htm says the following:

“Effective January 1, 2005, wages paid to corporate officers who own 25 percent or more of the corporation are no longer subject to Minnesota Unemployment Tax. If your corporation DID NOT specifically request to have this category of owner/officer(s) covered under the Minnesota UI Program, DO NOT report the wages of these officers on your 1st quarter (and forward) Unemployment Wage Detail Report.”

[oceanlovin'ea]

Wonder about Florida

I wonder if Florida has passed any such laws about corporate officers that own 25% or more of corporation not being subject to state unemployment. That would be great.

Anyone in Florida aware of anything like this?

Linda F

[rosieea]

I wonder if Florida has passed any such laws about corporate officers that own 25% or more of corporation not being subject to state unemployment. That would be great.

Anyone in Florida aware of anything like this?

Linda F

No such luck. Wages to corporate officers are subject to UE tax, regardless of ownership percentage.

see

http://dor.myflorida.com/dor/uc/GT-800058.html

[OldJack]

to FUTA taxes. I doubt it it taxable for state unemployment.

I agree with Veritas... not subject to FUTA tax as it is not a payment to the shareholder rather a fringe benefit added to W2 gross that is not subject to any payroll tax withholdings.

[ChEAr$]

UIC tax

[QUOTE=rosieea;27223]No such luck. Wages to corporate officers are subject to UE tax, regardless of ownership percentage.

And I cant' see any rationale for any state exempting corporate officers of any ilk.

Of course someone was talking about Minnesota, so maybe I can understand it
after all.

[veritas]

I think we

are getting confused here.

I'm saying that I doubt that health insurance premiums are subject to SUTA. Other compensation to a 2% or more shareholder/employee would be generally subject.