132—Statutory Criteria for Excludable Fringe Benefits
a.    No-Additional-Cost service fringe benefits (132(a),(b)):  include the value of any service provided by an employer to an employee for the use of that employee, the employee’s spouse, or dependent children, for which the employer incurs no additional cost.
i.    The exclusion applies whether the service is provided directly at no charge, at a reduced price, or through a cash rebate.
b.    NACSFB exclusion is subject to two conditions
i.    a non-discrimination requirement and
1.    self explanatory
ii.    a line of business limitation
1.    to be excludable, a service must be the same type of service as that sold to the public in the ordinary course of the employer’s line of business in which the employee works.
2.    Reciprocal arrangements are permitted allowing the employees of one employer to qualify for the no-additional-cost exclusion for benefits provided by an unrelated employer, as long as:
a.    both employers are in the same line of business,
b.    both employers are parties to a written reciprocity agreements, &
c.    neither employer incurs any substantial additional cost
iii.    see page 173 for examples
c.    Qualified Employee Discounts
i.    An employee discount is defined as “the amount by which:
1.    the price of the property or services are provided to the employee by the employer is less than
2.    the price at which such property or service are being offered by the employer to customers” 132(c)(3)
ii.    132(c)(4):  the exclusion is not available for discounts on real property or on any personal property of investment kind, such as securities and gold coins.
iii.    132(c)(1)(B):  a discount cannot exceed 20% of the price of the employers customers
iv.    132(c)(2):  the discount percentage on goods may not exceed the employer’s “profit percentage” determined by reference to the sales price to customers compared w. the employer’s cost for the merchandise
v.    Also subject to the:
1.    non-discrimination
2.    line of business
d.    Working Condition Fringe Benefits
i.    132(d) defines a working condition fringe as “any property or service provided to an employee of the employer to the extent that , if the employee paid for such property or services, such payment would be allowable as a deduction under §162 or §167.
e.    De Minimis Fringe Benefits
i.    132(e):  defines a de minimis fringe benefit as any property or service the value of which is so small that accounting for it is made unreasonable or administravatively impractible.
ii.    de minimis is subject to non-discriminatory policy only for eating facility fringe benefits, other de minimis fringe benefits may, however, be bestowed discriminatly
f.    Qualified Transportation Fringe
i.    132(f):  defines this category as including employer-provided commuter trasportation, transit pass, or qualified parking.  Ceilings are imposed on the amounts that will qulify for exclusioin; these are limited to:
1.    $60 per month for commuter transportation and transit passes, and
2.    $155 per month for parking.
g.    Qualified Moving Expense Reimbursement
i.    132(g):  excludes from GI the amount of moving expense paid by the taxpayer’s employer.
1.    Moving expenses are defined as:
a.    The reasonable cost of moving household goods and personal effects from the former residence to the new residence to the new residence and
b.    The reasonable cost of traveling (including lodging) from the former residence to the new residence.
h.    On-Premises Athletic Facilities
i.    132(j)(4):  specifically excludes from GI the FMV of on-premises athletic facilities for employees if substantially all of the use of the facility is by employees and their spouses and children.  The exclusion does not apply to country clubs or athletic facility memberships, unless the facility is owned and operated by the employer and satisfies the other requirements for exclusion.
1.    the non-discrimination policy does not apply to the athletic facilities exemption
i.    “supper money” – congress allows this “occasionally”