are relocation reimbursements taxable
Completed Relocation Expense Authorization Form (REA) 1. Disbursements will review for completeness and determination of the tax status of the reimbursement. 2. Disbursements will process the Payment Request. 1. Refer to your offer letter for specific relocation expenses that will be reimbursed by the university. 2. Complete the Relocation Expense Reimbursement Form and attach original receipts. 3. Be certain to complete the distance test portion of the Moving Expense Reimbursement form. These expenses also do not fall within the scope of this policy and are separate from the dollar amount offered to the employee to support moving the personal household. To be eligible for relocation and moving expense reimbursement, the employee’s relocation must meet the following conditions: 1. Nevada. So, if you're moving to one of these states, consider yourself part of the lucky 20% in America! However, Florida has an Intangibles Tax, and New Hampshire and Tennessee have an Interest & Dividends Tax. When you relocate, your employer may pay some of your relocation expenses. Limited relocation and moving expenses for faculty and staff may be provided if funds are available in the department or school/college/unit budget and the moving and relocation expenses do not to exceed one-twelfth of the new person’s annual salary or one-ninth of the new person’s academic year salary rate.  Report taxability of relocation and moving expense reimbursement to Payroll to be included on the W-2. 1.4 Definition of Terms Used in Policy The following definitions are used in the Georgia State University Relocation and Moving Expenses Policy for Employees: This amount is includable in the Relocation and Moving Expense Agreement limitation. The first thirty (30) days of storage is a qualified expense (not subject to tax withholding); however, reimbursement for storage beyond the first thirty (30) days is a nonqualified expense and taxes will be appropriately withheld. Turn your completed Relocation Expense Reimbursement form and original receipts into the dean’s office (if faculty) or your department (if staff). During processing, the expenditures will be reviewed by the Payroll Office and classified as non-taxable or taxable. • Taxable relocation expense reimbursements will be included as taxable wages in box 1(Wages, tips and other compensation), 3(Social Security Wages), 5(Medicare Wages), and 16(State Wages, tips, etc .) of the employee's W-2. Appropriate taxes will be withheld from the reimbursement. NON-TAXABLE-relocation reimbursement expenses that are non-taxable must first pass an initial test. The relocation expenses are non-taxable if they are closely related to the start of work at a new job location and they meet both the DISTANCE and TIME tests. If your company gives you a lump sum to pay for moving expenses, keep track of the actual costs that qualify as allowable moving expenses because you'll be able to report them on IRS form 3903 and deduct on your federal form 1040.
No