Taxation of Compensation and Benefits

New and Updated

• Type:

  50-State Charts

  Internal Revenue Code Conformity by State

  Updated to reflect code conformity exceptions in Indiana.

• Type:

  Editor's Choice

  Payroll Compliance Under the One Big Beautiful Bill Act: What Employers Need to Get Right Starting in 2026

  This resource provides guidance on key employer payroll and HR compliance requirements and considerations under the One Big Beautiful Bill Act (OBBBA). It focuses on new requirements for reporting qualified tips and overtime pay and for the administration of new Trump accounts, important changes regarding various employer-provided benefits, and the status of Employee Retention Credit claims and refunds. Suggestions are also provided on how to communicate some of these changes to employees without crossing the line of giving legal advice.

• Type:

  50-State Charts

  Taxation of Supplemental Wages by State

  Update to reflect a reduced rate in North Carolina, effective January 1, 2026. 

• Type:

  Employment Law Guide

  Taxation of Employee Benefits: Federal

  Updated to reflect the extension of transition guidance regarding paid family and medical leave reporting rules; information regarding Trump Accounts under the OBBBA; and Roth catch-up contributions rules under 401(k) plans, effective January 1, 2026.

• Type:

  Employment Law Guide

  Taxation of Employee Compensation: Federal

  Updated to reflect the business vehicle standard mileage rate, the fixed and variable rate mileage allowance, and the company fleet average value, effective January 1, 2026. 

• Type:

  Employment Law Guide

  Taxation of Employee Compensation: Illinois

  Updated to reflect Transportation Benefits Program Act amendments regarding employee coverage and an employer exemption, effective January 1, 2026. 

• Type:

  Checklists

  Payroll Practices and Procedures Checklist

  Updated to reflect further information regarding tip and overtime pay reporting under the OBBBA.

• Type:

  50-State Charts

  Taxation of Key Fringe and Retirement Benefits by State

  The following chart compares state vs federal tax treatment of common employer-provided fringe benefits, including group-term life insurance, moving expense reimbursements, educational assistance under IRC § 127, and retirement benefits under IRC § 401(k) plans and IRC § 125 Cafeteria plans.

• Type:

  Quick Reference

  Annual Retirement Plan COLAs and Fringe Benefit Limitations

  Updated to reflect all inflation-adjusted amounts, effective January 1, 2026. 

• Type:

  50-State Charts

  Tax Treatment of Same-Sex Civil Union and Domestic Partnership Partner Benefits by State

  This chart has been updated to remove same-sex marriage information, as federal and state tax treatment is now aligned. The title now reflects its current focus on taxation of benefits for those in same-sex civil unions and domestic partnerships, which continues to vary by state.