De Minimis Fringe Benefits Definition
De minimis fringe benefits are things of low value that you infrequently give your employees.
The IRS has special rules for de minimis fringe benefits. Because you give this type of benefit infrequently and it has a small value, you do not have to include these benefits in employee wages. Also, neither you nor your employees have to pay payroll taxes on these benefits. You might be able to deduct these benefits as business expenses. Examples of possible de minimis fringe benefits include parties, bonuses, and gifts.
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