Question

Are employer contributions into employee's health savings accounts taxed as earnings of the employees? What do you think of this law?

I do not need the meaning of this sentence i need the second part( What do you think of this law?)

Answer 1

Health savings account work is generally excluded from the direct income of workers in the health savings account (HSA) of an employer-eligible service, not subject to social justice, security or medical taxes. In addition, the employer's contribution can be deducted from the company by showing business expenses.

In the company, an employee's HSA can also be contributed by an employer or by an employee. It is possible for employers to contribute a fixed price. The annual limit is set on the contribution cost to the IRS HSA. If HSAs are financed through the work of both employer and employee, it is important to ensure that the full contribution remains within the annual IRS limit. Assistance beyond this annual limit can help employees generate taxable income.

The Health Savings Account (HSA) appears to be a trust that provides for medical payments.
Large expense deductible health plans (HDHPs) do not provide cash.

From the Internal Revenue Service (IRS), it appears that HSA contributions are a financial reporting transaction for the federal. These owners appear to be contributors to the HSA, and both are equally responsible for the HSA's annual report.

The health savings account shows many of the benefits of HSA taxes. Employers' contributions are deducted from federal income tax, and their account owners are made up of their capital gains subject to federal taxes. In addition, all income earned on HSA funds is tax-free. Therefore, taxes are not levied to qualify for medical expenses.

The Health Savings Account can receive the contribution of any qualified person with the responsibility of the employer or their family member who is eligible. In addition to the guidance of the employer, the contribution cannot be deducted or deducted from personal income tax. The HSA does not charge the Distribution Tax used for qualified medical expenses.

The Health Savings Account (HSA) entitles you to receive compensation for certain medical expenses that you may incur. This requires you to be eligible to qualify for health savings accounts.