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Former Member
Mar 26, 2009 at 02:19 PM

Non-Cash Gross-up at the supplemental 35%

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SAP provides Gross-up at the supplemental 25% up to $1M+ Bonus Income /115, then at 35% for $1M+ (/15 Bonus Wages YTD). Can anyone offer their solution for providing a 35% tax rate base gross-up regardless of /115 value for Non-Cash benefits?

The scenario is highly compensated executives receiving non-cash benefits 'grossed-up' early in the year, so the 25% rate applies. However, we would like to have the 35% apply before they hit the $1M threshold.