Final answer:
Occasional personal use of the company telephone is not a de minimis fringe benefit. Option d
Step-by-step explanation:
The correct answer is option d. Occasional personal use of company telephone is not considered a de minimis fringe benefit. De minimis fringe benefits are small, low-cost perks that employers may provide to their employees. They are considered minimal enough that they do not need to be reported as taxable income.
Occasional tickets to sporting events, a subscription to business periodicals, and traditional holiday gifts are examples of de minimis fringe benefits because they are of low value and provided infrequently.
However, allowing employees occasional personal use of a company telephone is not considered a de minimis fringe benefit because it involves the use of company resources for personal purposes, which may have more substantial value and frequency. Option d