what are my federal tax liabilities for short term and long term disabilty insurnace income?

Question

Insurance company is ING

Will my former employer include that % info on my 2007 tax form...W-2?

Answer 1

That depends upon how the policy was paid for. If it was paid for by you with tax paid dollars then the benefits are not taxable.

If your employer paid the cost, it's taxable to you.

If you paid the cost from pre-tax dollars, it's taxable to you.

If the payment was split between you and your employer or partly from taxed dollars and partly from untaxed dollars, the benefits are apportioned in the same matter as the policy premiums were and are taxed accordingly. For example, if you and your employer split the cost 50-50, half of the benefits are taxable and the other half are not.