Employees May Be Taxed for Texting If IRS Updates Work Cellphone Rules - washingtonpost.com

Under several proposals put forth this week, the IRS would more strictly enforce an existing law that classifies company-issued cellphones as a taxable benefit -- an idea decried by employers and wireless companies who argue that mobile phones are now essential tools in the workplace that shouldn't be considered income.The debate stems from a 1989 law that requires workers who use company cellphones for personal calls to count the value of those calls as income and pay federal income taxes for the minutes used. Employees are supposed to keep detailed records of their calls. Now that sending e-mails on mobile devices is more prevalent, data charges could also be subject to scrutiny.

Employees May Be Taxed for Texting If IRS Updates Work Cellphone Rules - washingtonpost.com