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In Rev. Rul 2002-27, IRS Approves Automatic Enrollment for Cafeteria Plans
Internal Revenue Service [IRS] 
[Official Guidance] May 24, 2002
Excerpt: [Issue:] Whether employer contributions used to purchase group health coverage under § 125 of the Internal Revenue Code are included in the gross income of the employee solely because the plan uses an automatic enrollment process whereby the employee's salary is reduced each year to pay for a portion of the coverage unless the employee affirmatively elects to receive the amount in cash.
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