Artículo Peace Corps.. Peace Corps.

id="en_US_2025_publink1000171309"> Peace Corps. Living allowances you receive as a Peace Corps volunteer or volunteer leader for housing, utilities, household supplies, food, and clothing are generally exempt from tax. Taxable allowances. The following allowances, however, must be included in your income and reported as wages. Allowances paid to your spouse and minor children while you’re a volunteer leader training in the United States. Living allowances designated by the Director of the Peace Corps as basic compensation. These are allowances for personal items such as domestic help, laundry and clothing maintenance, entertainment and recreation, transportation, and other miscellaneous expenses. Leave allowances. Readjustment allowances or termination payments. These are considered received by you when credited to your account. Example. You are a Peace Corps volunteer and get $175 a month as a readjustment allowance during your period of service, to be paid to you in a lump sum at the end of your tour of duty. Although the allowance isn’t available to you until the end of your service, you must include it in your income on a monthly basis as it’s credited to your account. Volunteers in Service to America (VISTA). If you’re a VISTA volunteer, you must include meal and lodging allowances paid to you in your income as wages. National Senior Services Corps programs. Don’t include in your income amounts you receive for supportive services or reimbursements for out-of-pocket expenses from the following programs. Retired Senior Volunteer Program (RSVP). Foster Grandparent Program. Senior Companion Program. Service Corps of Retired Executives (SCORE). If you receive amounts for supportive services or reimbursements for out-of-pocket expenses from SCORE, don’t include these amounts in gross income. Volunteer tax counseling. Don’t include in your income any reimbursements you receive for transportation, meals, and other expenses you have in training for, or actually providing, volunteer federal income tax counseling for the elderly (TCE). You can deduct as a charitable contribution your unreimbursed out-of-pocket expenses in taking part in the volunteer income tax assistance (VITA) program. See Pub. 526. Volunteer firefighters and emergency medical responders. If you are a volunteer firefighter or emergency medical responder, don’t include in your income the following benefits you receive from a state or local government. Rebates or reductions of property or income taxes you receive because of services you performed as a volunteer firefighter or emergency medical responder. Payments you receive because of services you performed as a volunteer firefighter or emergency medical responder, up to $50 for each month you provided services. The excluded income reduces any related tax or contribution deduction. Sickness and Injury Benefits This section discusses sickness and injury benefits, including disability pensions, long-term care insurance contracts, workers’ compensation, and other benefits. In most cases, you must report as income any amount you receive for personal injury or sickness through an accident or health plan that is paid for by your employer. If both you and your employer pay for the plan, only the amount you receive that is due to your employer’s payments is reported as income. However, certain payments may not be taxable to you. For information on nontaxable payments, see Military and Government Disability Pensions and Other Sickness and Injury Benefits , later in this discussion. . Don’t report as income any amounts paid to reimburse you for medical expenses you incurred after the plan was established. . Cost paid by you. If you pay the entire cost of a health or accident insurance plan, don’t include any amounts you receive from the plan for personal injury or sickness as income on your tax return. If your plan reimbursed you for medical expenses you deducted in an earlier year, you may have to include some, or all, of the reimbursement in your income. See What if You Receive Insurance Reimbursement in a Later Year? in Pub.