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Old 02-10-2004, 07:26 PM
A.G. Kalman
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Posts: n/a
Default Re: California VPDI vs SDI deductability

Josh M. wrote:
- quote -

> "A.G. Kalman" <glendale202-mtm[at]yahoo.com> wrote:
> > Josh M. wrote:


> > > I've seen a lot of debate on this topic over the years--not
> > > to rehash the whole debate (search google for "VPDI SDI" for
> > > more), but I work in CA for a company that offers a VPDI
> > > short-term disability plan with the same exact costs (but
> > > slightly better benefits, I believe) as the state SDI plan,
> > > and I've been on the VPDI plan for the past 10 years. The
> > > first few years, I deducted the VPDI payments on my federal
> > > sched A, until doing some research, and then I didn't for
> > > the past several years, thinking it wasn't deductable.
> > > > > However, this year, I noticed that my company (a very large
> > > tech company) shows "VP-DI 512.24", as usual, but in an
> > > online "Summary", shows "SUI/SDI (Box 14 of W-2) 512.24".
> > > This is a personalized summary (with my own numbers and
> > > categories, i.e. not just a generic listing of items).
> > > Clicking on the summary line pulls up a screen with "SUI/SDI
> > > is the amount deducted for State Unemployment Insurance or
> > > State Disability Insurance." Checking the last 2 years'
> > > W-2s available online also shows the same thing (with the
> > > lower contribution amounts of past years)
> > > > > So, apparently my company considers VPDI to be equivalent to
> > > SDI/SUI (which is what's asked for in various tax programs).
> > > Does this change any opinions here on the VPDI vs SDI
> > > issue?


> > Everything you would ever want to know about this issue from
> > of those us responding on this board is in the 39 post
> > thread called CA-VPDI dated 4/1/03 (an appropriate date).


> I read that thread, and saw that the consensus was that
> there was no consensus :-) My post was meant as a followup
> question--since my employer specifically refers to the VPDI
> amount as "SDI/SUI", how does that fit for those who argue
> VPDI is not deductible:


Sorry for the delay in responding.

- quote -

> a) Is it possible some plans are set up in a way that they
> are deductible, and some not (mine is the same cost, but
> better benefits, than SDI)?


It is my view that unless your payment goes to the state of CA
(your company is nothing more than an "agent") it is not a tax.

- quote -

> b) Is my company mistaken in referring to the VPDI payment
> as "SDI/SUI"? I should probably ask what their rationale
> is, but I suspect I'm going to get a vague answer along the
> lines of "Can't give tax advice; see an accountant".


Maybe your payment is CASDI and not VPDI.

--
Alan
http://taxtopics.net

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->
  #1  
Old 02-02-2004, 12:25 AM
Josh M.
Guest
 
Posts: n/a
Default Re: California VPDI vs SDI deductability

"A.G. Kalman" <glendale202-mtm[at]yahoo.com> wrote:
- quote -

> Josh M. wrote:

> > I've seen a lot of debate on this topic over the years--not
> > to rehash the whole debate (search google for "VPDI SDI" for
> > more), but I work in CA for a company that offers a VPDI
> > short-term disability plan with the same exact costs (but
> > slightly better benefits, I believe) as the state SDI plan,
> > and I've been on the VPDI plan for the past 10 years. The
> > first few years, I deducted the VPDI payments on my federal
> > sched A, until doing some research, and then I didn't for
> > the past several years, thinking it wasn't deductable.
> > > However, this year, I noticed that my company (a very large

> > tech company) shows "VP-DI 512.24", as usual, but in an
> > online "Summary", shows "SUI/SDI (Box 14 of W-2) 512.24".
> > This is a personalized summary (with my own numbers and
> > categories, i.e. not just a generic listing of items).
> > Clicking on the summary line pulls up a screen with "SUI/SDI
> > is the amount deducted for State Unemployment Insurance or
> > State Disability Insurance." Checking the last 2 years'
> > W-2s available online also shows the same thing (with the
> > lower contribution amounts of past years)
> > > So, apparently my company considers VPDI to be equivalent to

> > SDI/SUI (which is what's asked for in various tax programs).
> > Does this change any opinions here on the VPDI vs SDI
> > issue?


> Everything you would ever want to know about this issue from
> of those us responding on this board is in the 39 post
> thread called CA-VPDI dated 4/1/03 (an appropriate date).


I read that thread, and saw that the consensus was that
there was no consensus :-) My post was meant as a followup
question--since my employer specifically refers to the VPDI
amount as "SDI/SUI", how does that fit for those who argue
VPDI is not deductible:

a) Is it possible some plans are set up in a way that they
are deductible, and some not (mine is the same cost, but
better benefits, than SDI)?

b) Is my company mistaken in referring to the VPDI payment
as "SDI/SUI"? I should probably ask what their rationale
is, but I suspect I'm going to get a vague answer along the
lines of "Can't give tax advice; see an accountant".

For this year, I think I'm going to deduct it. If the IRS
should happen to audit, and feels otherwise, I guess that's
a risk I'll have to take--based on the arguments in the
previous threads, and this information from my company, I
feel I at least have a good faith rationale for taking the
deduction.

Thank you all for the excellent advise in this group--the
first think I do when I have a tax question is check Google
Groups, and usually the answer is right here.

Thanks,

Josh

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->
 
Old 01-30-2004, 08:38 PM
A.G. Kalman
Guest
 
Posts: n/a
Default Re: California VPDI vs SDI deductability

Josh M. wrote:

- quote -

> I've seen a lot of debate on this topic over the years--not
> to rehash the whole debate (search google for "VPDI SDI" for
> more), but I work in CA for a company that offers a VPDI
> short-term disability plan with the same exact costs (but
> slightly better benefits, I believe) as the state SDI plan,
> and I've been on the VPDI plan for the past 10 years. The
> first few years, I deducted the VPDI payments on my federal
> sched A, until doing some research, and then I didn't for
> the past several years, thinking it wasn't deductable.
> However, this year, I noticed that my company (a very large
> tech company) shows "VP-DI 512.24", as usual, but in an
> online "Summary", shows "SUI/SDI (Box 14 of W-2) 512.24".
> This is a personalized summary (with my own numbers and
> categories, i.e. not just a generic listing of items).
> Clicking on the summary line pulls up a screen with "SUI/SDI
> is the amount deducted for State Unemployment Insurance or
> State Disability Insurance." Checking the last 2 years'
> W-2s available online also shows the same thing (with the
> lower contribution amounts of past years)
> So, apparently my company considers VPDI to be equivalent to
> SDI/SUI (which is what's asked for in various tax programs).
> Does this change any opinions here on the VPDI vs SDI
> issue?


Everything you would ever want to know about this issue from
of those us responding on this board is in the 39 post
thread called CA-VPDI dated 4/1/03 (an appropriate date).

--
Alan
http://taxtopics.net

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->
  #-1  
Old 01-28-2004, 05:46 PM
Josh M.
Guest
 
Posts: n/a
Default California VPDI vs SDI deductability

I've seen a lot of debate on this topic over the years--not
to rehash the whole debate (search google for "VPDI SDI" for
more), but I work in CA for a company that offers a VPDI
short-term disability plan with the same exact costs (but
slightly better benefits, I believe) as the state SDI plan,
and I've been on the VPDI plan for the past 10 years. The
first few years, I deducted the VPDI payments on my federal
sched A, until doing some research, and then I didn't for
the past several years, thinking it wasn't deductable.

However, this year, I noticed that my company (a very large
tech company) shows "VP-DI 512.24", as usual, but in an
online "Summary", shows "SUI/SDI (Box 14 of W-2) 512.24".
This is a personalized summary (with my own numbers and
categories, i.e. not just a generic listing of items).
Clicking on the summary line pulls up a screen with "SUI/SDI
is the amount deducted for State Unemployment Insurance or
State Disability Insurance." Checking the last 2 years'
W-2s available online also shows the same thing (with the
lower contribution amounts of past years)

So, apparently my company considers VPDI to be equivalent to
SDI/SUI (which is what's asked for in various tax programs).
Does this change any opinions here on the VPDI vs SDI
issue?

Thanks,

Josh

<< -------------------------------------------------> << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org > << ------------------------------------------------->
 

Tags
california, deductability, sdi, vpdi
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