Are childcare vouchers taxable income in the US?

So, it is that time of year again to do US taxes....    Both myself and OH receive childcare vouchers off the top of our pay, and thus it is not taxable income in the UK.  Does anyone know if this applies to US taxes as well? 

Basically, do I need to declare the childcare voucher amount taken off the top as income for US taxes, or is it also excluded from taxable income (the same way a 401K is not taxable)? 

I don't know the answer, but these sorts of salary sacrifice arrangements are known as "cafeteria programs" in the US, so I'd think the answer depends on whether the IRS considers childcare vouchers to be a suitable purpose for a cafeteria program.

Sounds like taxable compensation to me.

From the horse's mouth - dependent care expenses under a fringe benefit program (such as childcare vouchers) can be excluded from US taxable income, assuming certain conditions are met. The maximum exclusion is $5,000 (reduced to $2,500 for married filing separately). What isn't clear to me is whether a married couple filing jointly could exclude $5,000 per person or $5,000 jointly. They probably intended for it to be the latter.

Thanks politicfool for uncovering this -  I never would have found this.   I'll now dig into this a bit further.

Coincidently, this contradicts the response I received from greenback tax service,  which makes having the source that much more beneficial.

 

IMHO tax services frequently give the answer that's most beneficial to them, not you, particularly when it's an oddball situation. "Report as income" means they are in the clear for sure, and so are you if it is reportable/taxable. Saves them the trouble of researching but may well cost you more in tax.

I've seen a few totally incorrect 'opinions' posted on forums that were given to someone by a 'tax professional', all based on the 'err on the side of caution' mantra.