“Imputed taxable income” and agency-paid parking
Some employees have received agency-paid parking at the Goat Hill and King Street Center garages during the COVID-19 pandemic. The federal Internal Revenue Service (IRS) considers this an employer-paid benefit, and employees can be liable for income taxes on any amount over $270 per month, the threshold amount for 2020. For example, if the agency-paid parking for the month totaled $340, an employee receiving the benefit could be taxed on the excess, which in this example is $70. This “Imputed Taxable Income” is shown on your paystub as “ImpTxIncm” under Employee Taxable Value.
If you have questions about this issue, please contact KC.Benefits@kingcounty.gov for information.