Proposed rules on dependent care assistance programs, FSAs.

• Position: Internal Revenue Service - Flexible spending accounts - Brief article

Employers offering dependent care assistance programs or flexible spending accounts should review new, more generous proposed rules from the IRS, which would apply to taxable years ending after they are finalized.

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The new IRS rules clarify that dependent care is eligible for tax credit only in the year the expenses were paid or in the year services were rendered.

The new rules would update 1979 regulations providing tax relief for dependent care...