Which of the following is not a requirement of a "qualified employee discount"?
A)The discount relates to goods or services of the employer.
B)The discount doesn't exceed the average gross profit percentage of the employer's goods.
C)The discount can be elected up to five times annually.
D)The employer's actual price for the good sold is irrelevant.There is no limitation on the number of times the employees can use the discount.

Question

Quizplus · Accepted Answer

The other three options are requirements for a "qualified employee discount" according to the IRS. However, there is no specific limitation on the number of times the discount can be elected, so option D is not applicable. Option C, on the other hand, incorrectly states that the discount can be elected up to five times annually, which is not a requirement.

Which of the Following Is Not a Requirement of a "Qualified