|Subject:||Educational Assistance Payments||Bulletin No. 58|
This bulletin updates Bulletin A426/P963. The tax rules for non-job-related educational assistance payments are the same for 1998 as they were for 1997.
Payments for job-related educational assistance continue to be excludable.
The $5,250 exclusion for non-job-related undergraduate education courses remains in effect for 1998 and 1999.
GRADUATE LEVEL COURSES
There is no exclusion for non-job-related graduate level courses. Therefore, payments for graduate level courses made in 1998 and 1999 are subject to wage reporting and withholding. Payments for such courses made through the Central Accounting System (CAS) must be reported to the OSC Payroll System according to the procedures contained in this bulletin.
The taxable amounts for 1998 should be data entered into PaySR as soon as possible, but no later than Institution Period 19-Lag and 20-Current, and Administration Period 18-Lag and 19-Current as described below.
DIRECT INPUT TO PAYSR
Agencies may enter the taxable value into PaySR on the Time Entry panel or report the transaction on Miscellaneous Payments File.
TIME ENTRY ON-LINE INSTRUCTIONS
Agencies reporting this information using the Miscellaneous Payments File should use the same data elements as shown for Time Entry On-Line Instructions.
Direct payroll questions on this bulletin to the PaySR Help Desk at (518) 486-6745 (press 3).