CHERRY HILL, N.J.
Dec. 5, 2012
/PRNewswire/ -- TD Bank, America's Most Convenient Bank®, has announced that it will begin to offset the additional federal and state taxes that its lesbian, gay, bisexual and transgendered (LGBT) employees pay for domestic partner benefits relative to heterosexual married couples. The tax equalization will take effect on
January 1, 2013
, making TD one of the few banks in the nation to absorb these extra taxes to equalize benefits for employees.
"TD Bank is committed to building an inclusive, barrier-free workplace where every employee feels valued, respected and supported," said
, Head of Commercial Management Administration at TD Bank and Co-Chair of the bank's Lesbian, Gay, Bisexual, Transgendered and Allies Committee. "Offsetting these extra taxes for our LGBT employees makes us more competitive in the hunt for great talent and it's the right thing to do."
Same-sex partnerships are not recognized under federal or many state laws, causing people enrolled in domestic partner health benefits to incur extra taxes. TD Bank will equalize this tax impact by making a one-time payment at the end of the year to its LGBT employees that have enrolled their domestic partners in the bank's health benefits. The one-time payment will be equal to the extra taxes same-sex domestic partners pay for benefits over the course of a year.
The announcement comes on the heels of the Human Rights Campaign (HRC) Foundation distinguishing TD Bank as one of "The Best Places to Work for LGBT Equality." The bank earned a 100 rating for the fourth consecutive year on HRC's 2013 Corporate Equality Index, which scores companies on equal employment opportunity policies, benefits for LGBT employees and their spouses/partners, transgender-inclusive health insurance, public commitment and responsible citizenship.