Working Condition Benefits

A working condition fringe benefit is any service or property that an employee would be entitled to take a deduction for as a business expense or as depreciation had he paid for the item.

Examples of working condition fringe benefits are:

• A company car provided for an employee who must travel from customer to customer on business;
• Expenses associated with an employee’s office decor;
• Home computers; and
• Services, such as properly structured outplacement services offered to laid off employees.