Reimbursement Account Taxes
This article applies to you if you have a Via Benefits reimbursement account (sometimes known as a Health Reimbursement Arrangement)*.
A reimbursement account is excluded from your taxable income, meaning you don't have to report it as income or pay taxes on it.
Former employers, voluntary employees' beneficiary association (VEBA) trusts and state benefit connectors often provide reimbursement accounts to their retirees because these accounts tax-free. If they were to issue a check to you each month instead, it would be taxable income. Because the funds are in a reimbursement account managed by a third party (e.g., Via Benefits) and are used only for qualified medical expenses, you don't have to pay any additional taxes on the money added to your reimbursement account.
We encourage you to speak with a tax professional if you have additional tax-specific questions regarding your reimbursement account.
*Via Benefits reimbursement accounts are administered by Extend Health, LLC.