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Temp. Duty Travel Allowances Ch. 301, App. D

APPENDIX D TO CHAPTER 301—GLOSSARYOF ACRONYMS

ATM: Automated Teller MachineCFR: Code of Federal RegulationsCMTR: Combined Marginal Tax RateCONUS: Continental United StatesCSRS: Civil Service Retirement SystemDOD: Department of DefenseDOJ: Department of JusticeDSSR: Department of State Standardized

RegulationsEFT: Electronic Funds TransferFAM: Foreign Affairs ManualFEMA: Federal Emergency Management

AgencyFERS: Federal Employees Retirement Sys-

temFHA: Federal Housing AdministrationFOB: Free On BoardFTR: Federal Travel RegulationFTS: Federal Telecommunications SystemGAO: General Accounting OfficeGBL: Government Bill of LadingGEBAT: Government Excess Baggage Au-

thorization TicketGOCO: Government Owned Contractor Oper-

atedGPO: Government Printing OfficeGSA: General Services AdministrationGTR: Government Transportation RequestID: IdentificationIDL: International Date LineIRC: Internal Revenue CodeIRS: Internal Revenue ServiceJFTR: Joint Federal Travel Regulations

JTR: Joint Travel RegulationM&IE: Meals and Incidental ExpensesM&O: Management and OperatingMOU: Memorandum of UnderstandingMTR: Marginal Tax RateNIST: National Institute of Standards and

TechnologyOCONUS: Outside the Continental United

StatesOGE: Office of Government EthicsOMB: Office of Management and BudgetPCS: Permanent Change of StationPDS: Permanent Duty StationPIN: Personal Identification NumberPOV: Privately Owned VehiclePTA: Prepaid Ticket AdvicePDTATAC: Per Diem, Travel and Transpor-

tation Allowance CommitteeQ&A: Question and AnswerRIT: Relocation Income TaxSES: Senior Executive ServiceSSN: Social Security NumberTCS: Temporary Change of StationTDY: Temporary DutyTMC: Travel Management CenterTMS: Travel Management Services/SystemTQSE: Temporary Quarters Subsistence Ex-

pensesU.S.C.: United States CodeVA: Department of Veterans AffairsWAE: When Actually EmployedWTA: Withholding Tax Allowance

[63 FR 15983, Apr. 1, 1998; 63 FR 35538, 35539,June 30, 1998](7–1–98 Edition)

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CHAPTER 302—RELOCATION ALLOWANCES

Part Page302–1 Applicability, general rules, and eligibility condi-

tions ..................................................................... 95302–2 Allowances for subsistence and transportation ...... 119302–3 Allowance for miscellaneous expenses .................... 122302–4 Allowance for househunting trip expenses .............. 124302–5 Allowance for temporary quarters subsistence ex-

penses ................................................................... 128302–6 Allowance for expenses incurred in connection

with residence transactions ................................. 134302–7 Transportation of mobile homes ............................. 142302–8 Transportation and temporary storage of house-

hold goods and professional books, papers, andequipment ............................................................ 144

302–9 Allowances for nontemporary storage of householdgoods .................................................................... 151

302–10 Allowances for transportation and emergency stor-age of a privately owned vehicle .......................... 154

302–11 Relocation income tax (RIT) allowance .................. 162302–12 Use of a relocation services company ..................... 206302–14 Home marketing incentive payments ..................... 210302–15 Allowance for property management services ........ 212

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PART 302–1—APPLICABILITY, GEN-ERAL RULES, AND ELIGIBILITYCONDITIONS

Subpart A—New Appointees andTransferred Employees

Sec.302–1.1 Authority.302–1.2 Applicability.302–1.3 General provisions.302–1.4 Definitions.302–1.5 Service agreements.302–1.6 Time limits for beginning travel and

transportation.302–1.7 Short distance involved.302–1.8 Two or more family members em-

ployed.302–1.9 Reduction in force involved.302–1.10 New appointees.302–1.11 [Reserved]302–1.12 Overseas assignment and return.302–1.13 Overseas tour renewal agreement

travel.302–1.14 Use of funds.302–1.15 Waiver of limitations for an em-

ployee relocating to or from a remote orisolated location.

Subpart B—Relocation Entitlements UponSeparation for Retirement

302–1.100 Applicability.302–1.101 Eligibility criteria.302–1.102 Agency authorization or approval.302–1.103 Allowable expenses.302–1.104 Expenses not allowable.302–1.105 Origin and destination.302–1.106 Time limits for beginning travel

and transportation.302–1.107 Use of funds.

Subpart C—Employee’s TemporaryChange of Station

302–1.200 What is a ‘‘temporary change ofstation (TCS)’’?

302–1.201 What is the purpose of a TCS?302–1.202 Am I eligible for a TCS?302–1.203 Who is not eligible for a TCS?302–1.204 Must my agency authorize a TCS

when I am directed to perform a long-term assignment at a temporary officialstation?

302–1.205 Under what circumstances will myagency authorize a TCS?

302–1.206 If my agency authorizes a TCS, doI have the option of electing payment oftemporary duty travel allowances in-stead?

302–1.207 How long must my assignment befor me to qualify for a TCS?

302–1.208 What is the effect on my TCS re-imbursement if my assignment lasts lessthan 6 months?

302–1.209 What is the effect on my TCS re-imbursement if my assignment lastsmore than 30 months?

302–1.210 Is there any required minimumdistance between an official station anda long-term assignment location thatmust be met for me to qualify for a TCS?

302–1.211 Must I sign a service agreement toqualify for a TCS?

302–1.212 What is my official station duringmy long-term assignment?

EXPENSES PAID UPON ASSIGNMENT

302–1.213 What expenses must my agencypay for a TCS upon my assignment?

302–1.214 What expenses may my agency payfor a TCS upon my assignment?

EXPENSES PAID DURING ASSIGNMENT

302–1.215 If my agency authorizes a TCS,will it pay for nontemporary storage ofmy household goods?

302–1.216 How long may my agency pay fornontemporary storage of my householdgoods?

302–1.217 Is there any limitation on thecombined weight of household goods Imay transport or nontemporarily storeat Government expense?

302–1.218 What are the income tax con-sequences if my agency pays for non-temporary storage of my householdgoods?

302–1.219 Will my agency pay for propertymanagement services when I am author-ized a TCS?

302–1.220 What is the property for which myagency will pay for property manage-ment services?

302–1.221 How long will my agency pay forproperty management services?

302–1.222 What are the income tax con-sequences when my agency pays for prop-erty management services?

EXPENSES PAID UPON COMPLETION OF ASSIGN-MENT OR UPON SEPARATION FROM GOVERN-MENT SERVICE

302–1.223 What expenses will my agency paywhen I complete my long-term assign-ment?

302–1.224 If I separate from Governmentservice upon completion of my long-termassignment, what relocation expenseswill my agency pay upon my separation?

302–1.225 If I separate from Governmentservice prior to completion of my long-term assignment, what relocation ex-penses will my agency pay upon my sepa-ration?

302–1.226 If I have been authorized succes-sive temporary changes of station and re-assigned from one temporary official sta-tion to another, what expenses will myagency pay upon completion of my last

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assignment or my separation from Gov-ernment service?

PERMANENT ASSIGNMENT TO TEMPORARYOFFICIAL STATION

302–1.227 How is payment of my TCS ex-penses affected if I am permanently as-signed to my temporary official station?

302–1.228 What relocation allowances maymy agency pay when I am permanentlyassigned to my temporary official sta-tion?

302–1.229 If I am permanently assigned tomy temporary official station, is thereany limitation on the weight of house-hold goods I may transport at Govern-ment expense to my official station?

302–1.230 Are there any relocation allow-ances my agency may not pay if I ampermanently assigned to my temporaryofficial station?

Subpart D—Agency Responsibilities forTemporary Change of Station

302–1.300 How should we administer our TCSprogram?

302–1.301 What governing policies must weestablish for our TCS program?

302–1.302 What factors should we consider indetermining whether to authorize a TCSfor a long-term assignment?

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20306, May 10, 1989, unlessotherwise noted.

Subpart A—New Appointees andTransferred Employees

§ 302–1.1 Authority.This chapter is issued pursuant to 5

U.S.C. 5721–5734 and 20 U.S.C. 905(a).

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.2 Applicability.(a) Persons covered. Except as other-

wise provided in this chapter, the fol-lowing persons are covered:

(1) Civilian officers and employeesupon transfer from one official stationor agency to another for permanentduty.

(2) Civilian officers and employees ofthe United States Postal Service trans-ferred under 39 U.S.C. 1006 from thePostal Service to an agency as definedin 5 U.S.C. 5721 for permanent duty.

(3) Civilian officers and employees as-signed to posts of duty outside the con-

tinental United States in connectionwith overseas tour renewal agreementtravel and upon return to places of res-idence for the purpose of separation.

(4) New appointees to any position.(5) Student trainees assigned upon

completion of college work to any posi-tion.

(6) Department of Defense overseasdependents school system teachers.

(7) Career appointees to the SeniorExecutive Service (SES), and prior SESappointees who have elected to retainSES retirement benefits, upon their re-tirement and return to the place theindividual has elected to reside.

(b) Persons excluded. This chaptershall not apply to:

(1) Officers and employees trans-ferred in accordance with the provi-sions of the Foreign Service Act of1980, as amended.

(2) Officers and employees trans-ferred in accordance with the provi-sions of the Central Intelligence Agen-cy Act of 1949, as amended.

(3) Persons whose pay and allowancesare prescribed under title 37, UnitedStates Code, ‘‘Pay and Allowances ofthe Uniformed Services.’’

(4) Personnel of the Veterans Admin-istration to whom the provisions of 38U.S.C. 235 apply.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23656, May 23, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992; FTRAmdt. 37, 59 FR 27488, May 27, 1994]

§ 302–1.3 General provisions.

(a) Travel covered—(1) Mandatory cov-erage. When change of official stationor other action described in this para-graph is authorized or approved bysuch official or officials as the head ofthe agency may designate, travel andtransportation expenses and applicableallowances as provided in this chapter(see applicability and exclusions in per-tinent parts) shall be paid in the caseof:

(i) An employee transferring fromone official duty station to another forpermanent duty, provided the transferis in the interest of the Governmentand is not primarily for the conven-ience or benefit of the employee or athis/her request; the transfer is to a newofficial station which is at least 10

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miles distant from the old official sta-tion; and, in the case of a relativelyshort distance relocation, a determina-tion of eligibility is made under § 302–1.7(a) of this part;

(ii) Eligible employees outside thecontinental United States traveling inconnection with overseas tour renewalagreement travel;

(iii) Eligible employees returningfrom posts of duty outside the con-tinental United States to places of ac-tual residence for separation as pro-vided in § 302–1.12 of this part; and

(iv) Eligible individuals, as defined in§ 302–1.101 of this chapter, qualifying for‘‘last move home’’ benefits upon sepa-ration from Government service as pro-vided in subpart B of this part.

(2) Discretionary coverage. The head ofan agency, or his/her designee, may au-thorize the payment of travel andtransportation expenses and applicableallowances in the case of:

(i) A new appointee, as defined in§ 302–1.4(d), relocating from his/herplace of actual residence at the time ofappointment (or at the time followingthe most recent Presidential election,but before selection or appointment, inthe case of an individual who has per-formed transition activities under sec-tion 3 of the Presidential TransitionAct of 1963 (3 U.S.C. 102 note) and whois appointed in the same fiscal year asthe Presidential inauguration that im-mediately follows his/her transition ac-tivities) for permanent duty to an offi-cial station; and

(ii) An employee authorized a tem-porary change of station under subpartC of this part in connection with theemployee s long-term assignment to atemporary official station.

(b) Reasonable advance notice of reas-signment or transfer. As provided in 5U.S.C. 5724(j), ‘‘the reassignment ortransfer of any employee, for perma-nent duty, from one official station oragency to another which is outside theemployee’s commuting area shall takeeffect only after the employee has beengiven advance notice for a reasonableperiod. Emergency circumstances shallbe taken into account in determiningwhether the period of advance notice isreasonable.’’ Agencies shall give asmuch advance notice as possible to en-able the employee to begin the ar-

rangements necessary when relocatingfamily and residence. However, see§ 302–1.7 governing payment of traveland transportation expenses and appli-cable allowances when short distancesare involved. A reasonable period of ad-vance notice should not be less than 30days except when:

(1) The employee and both the losingand gaining agencies agree on a lesserperiod;

(2) Other statutory authority and im-plementing regulations stipulate alesser period (see Office of PersonnelManagement regulations for specifiedtimeframes); or

(3) Emergency circumstances prevail.(c) Travel authorization. When it is de-

termined that a relocation will be au-thorized at Government expense, awritten travel authorization shall beissued to the new appointee or em-ployee before he/she reports to the firstor new official station. The agencyshould advise the employee, or individ-ual selected for appointment, not toincur relocation expenses in anticipa-tion of a relocation until he/she has re-ceived written notification. The travelauthorization shall indicate the spe-cific allowances which are authorizedas provided in this chapter and provideinstructions on the Federal proceduresfor procurement of travel and transpor-tation services. The guidelines in § 301–1.102 of this title on issuance of travelauthorizations shall be followed. Seealso § 302–1.10(c) for procedural require-ments applicable to new appointees.

(d) Applicable provisions for reimburse-ment purposes. Because of successivechanges to the statutes and the regu-latory provisions governing relocationallowances and the extended period oftime that employees retain eligibilityfor certain allowances (see §§ 302–1.6and 302–6.1(e)), the reimbursementmaximums or limitations applicable tocertain allowances will not be the samefor all employees even though claimsmay be filed within the same time-frame. The regulatory provisions in ef-fect on the employee’s or new ap-pointee’s effective date of transfer orappointment (see § 302–1.4(l)) shall be

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used for payment or reimbursementpurposes.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 9, 55 FR 10778, Mar. 23, 1990; FTRAmdt. 17, 56 FR 23656, May 23, 1991; 56 FR28589, June 21, 1991; 56 FR 40946, Aug. 16, 1991;FTR Amdt. 26, 57 FR 28634, 28635, June 26,1992; FTR Amdt. 32, 58 FR 58243, Oct. 29, 1993;FTR Amdt. 64, 62 FR 13771, Mar. 21, 1997]

§ 302–1.4 Definitions.As used in this chapter, and unless

otherwise specifically provided in thischapter, the following definitionsapply:

(a) Continental United States. Con-tinental United States (or CONUS)means the 48 contiguous States and theDistrict of Columbia.

(b) United States. United Statesmeans the 50 States and the District ofColumbia. The terms United States andthe 50 States and the District of Columbiaare used interchangeably throughoutthis chapter.

(c) Employee. A civilian officer or em-ployee of an agency as defined in para-graph (e) of this section. The term alsoincludes new appointees as defined inparagraph (d) of this section.

(d) New appointee. New appointee in-cludes any person newly appointed toGovernment service, including an indi-vidual who has performed transitionactivities under section 3 of the Presi-dential Transition Act of 1963 (3 U.S.C.102 note) and who is appointed in thesame fiscal year as the Presidential in-auguration that immediately followshis/her transition activities. New ap-pointee also includes an individual ap-pointed after a break in service exceptthat an employee separated as a resultof reduction in force or transfer offunction may be treated as a transfereeinstead of a new appointee under theconditions set out in § 302–1.9. In addi-tion, for purposes of chapters 301–304 ofthis title, the term new appointee in-cludes a student trainee who is as-signed upon completion of collegework.

(e) Agency. For purposes of this chap-ter, agency means:

(1) An Executive agency as defined in 5U.S.C. 105 (an executive department, anindependent establishment, the Gen-eral Accounting Office, or a whollyowned Government corporation as de-

fined in section 101 of the GovernmentCorporation Control Act, as amended,but excluding a Government controlledcorporation);

(2) A military department;(3) A court of the United States;(4) The Administrative Office of the

United States Courts;(5) The Federal Judicial Center;(6) The Library of Congress;(7) The United States Botanic Gar-

den;(8) The Government Printing Office;

and(9) The District of Columbia.(f) Immediate family. (1) Any of the

following named members of the em-ployee’s household at the time he/shereports for duty at the new permanentduty station or performs authorized orapproved overseas tour renewal agree-ment travel or separation travel:

(i) Spouse;(ii) Children of the employee or em-

ployee’s spouse who are unmarried andunder 21 years of age or who, regardlessof age, are physically or mentally in-capable of self-support. (The term‘‘children’’ shall include natural off-spring; stepchildren; adopted children;grandchildren, legal minor wards, orother dependent children who areunder legal guardianship of the em-ployee or employee’s spouse; and achild born after the employee’s effec-tive date of transfer when the travel ofthe employee’s expectant spouse to thenew official station is prevented at thetime of the transfer because of ad-vanced stage of pregnancy, or otherreasons acceptable to the agency con-cerned, e.g., awaiting completion of theschool year by other children.);

(iii) Dependent parents (includingstep- and legally adoptive parents) ofthe employee or employee’s spouse (seeparagraph (f)(2) of this section for de-pendent status criteria); and

(iv) Dependent brothers and sisters(including step- and legally adoptivebrothers and sisters) of the employeeor employee’s spouse who are unmar-ried and under 21 years of age or who,regardless of age, are physically ormentally incapable of self-support.(See paragraph (f)(2) of this section fordependent status criteria.)

(2) Generally, the individuals namedin paragraphs (f)(1) (iii) and (iv) of this

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section shall be considered dependentsof the employee if they receive at least51 percent of their support from theemployee or employee’s spouse; how-ever, this percentage of support cri-teria shall not be the decisive factor inall cases. These individuals may also beconsidered dependents for the purposesof this chapter if they are members ofthe employee’s household and, in addi-tion to their own income, receive sup-port (less than 51 percent) from the em-ployee or employee’s spouse withoutwhich they would be unable to main-tain a reasonable standard of living.

(g) Temporary storage. Storage ofhousehold goods for a limited period oftime at origin, destination, or en routein connection with transportation to,from, or between official stations orposts of duty or authorized alternatepoints.

(h) Nontemporary storage. Storage ofhousehold goods while an employee isassigned to or is at an official stationor post of duty to which he/she will notor cannot transport such householdgoods.

(i) Mobile home. Any type of housetrailer or mobile dwelling constructedfor use as a residence and designed tobe moved overland, either by self-pro-pulsion or towing. Also, a boat whenused as the employee’s primary resi-dence.

(j) Household goods. (1) All personalproperty associated with the home andall personal effects belonging to an em-ployee and the immediate family whenshipment or storage begins, which canbe legally accepted and transported ashousehold goods by an authorized com-mercial carrier in accordance with therules and regulations established or ap-proved by an appropriate Federal orState regulatory authority, except theitems excluded in this paragraph.Snowmobiles and vehicles with two orthree wheels, e.g., motorcycles,mopeds, and golf carts, may be shippedas household goods. The followingitems are specifically excluded fromthe definition of household goods:

(i) Automobiles, trucks, vans andsimilar motor vehicles; boats; air-planes; mobile homes; camper trailers;and farming vehicles;

(ii) Live animals, birds, fowls, andreptiles;

(iii) Cordwood and building mate-rials; and

(iv) Property for resale, disposal, orcommercial use rather than for use bythe employee or the immediate family;and

(v) Any property or items which car-riers’ tariffs prohibit carriers from ac-cepting for shipment. Agencies are ad-vised to consult applicable tariffs or tocontact the carrier involved if prob-lems arise concerning shipment of thefollowing prohibited articles:

(A) Property liable to impregnate orotherwise damage equipment or otherproperty (e.g., hazardous articles in-cluding explosives, flammable and cor-rosive materials, and poisons);

(B) Articles which cannot be takenfrom the premises without damage tothe article or the premises;

(C) Perishable articles, including fro-zen foods, articles requiring refrigera-tion, or perishable plants unless: theshipment is to be transported not morethan 150 miles and/or delivery accom-plished within 24 hours from the timeof loading; no storage of shipment isrequired; and no preliminary orenroute servicing or watering or otherpreservative method is required of thecarrier.

(2) Items which are irreplaceable orare of extreme value or sentiment arenot provided special security by thecarrier even though extra-value insur-ance may be purchased. Employees andtheir immediate families are advised topersonally transport these types ofitems.

(k) Official station or post of duty. Thebuilding or other place where the offi-cer or employee regularly reports forduty. (For eligibility for change of sta-tion allowances, see §§ 302–1.3 and 302–1.7.) With respect to entitlement underthis chapter relating to the residenceand the household goods and personaleffects of an employee, official stationor post of duty also means the resi-dence or other quarters from which theemployee regularly commutes to andfrom work. However, where the officialstation or post of duty is in a remotearea where adequate family housing isnot available within reasonable dailycommuting distance, residence in-cludes the dwelling where the family ofthe employee resides or will reside, but

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only if such residence reasonably re-lates to the official station as deter-mined by an appropriate administra-tive official.

(l) Effective date of transfer or appoint-ment. The date on which an employeeor new appointee reports for duty athis/her new or first official station.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23656, May 23, 1991; FTRAmdt. 20, 56 FR 46989, Sept. 17, 1991; FTRAmdt. 26, 57 FR 28634, 28635, June 26, 1992]

§ 302–1.5 Service agreements.(a) Transfers within the continental

United States and appointments and as-signments of new appointees and studenttrainees to any position within the UnitedStates. In connection with the transferof employees between official stationswithin the continental United States,expenses authorized under this chaptershall not be allowed until the employeeselected for such transfer agrees inwriting to remain in the service of theGovernment for 12 months followingthe effective date of the transfer, un-less separated for reasons beyond his/her control that are acceptable to theagency concerned. In case of a viola-tion of such an agreement, includingfailure to effect the transfer, any fundsexpended by the United States for ex-penses authorized under this chaptershall be recoverable from the individ-ual concerned as a debt due the UnitedStates. Such an agreement also is re-quired from new appointees and stu-dent trainees appointed or assigned toany position within the United States,as a condition of payment for travel,transportation, moving and/or storageof household goods, and allowances asprovided in § 302–1.10. A signed agree-ment for 12 months’ service shall be re-quired for each permanent change ofstation.

(b) Transfers, appointments, and sepa-rations involving posts of duty outside thecontinental United States. (1) In connec-tion with the transfer or appointmentof employees to posts of duty outsidethe continental United States, or be-tween posts located in (i) separatecountries, (ii) separate areas of theUnited States located outside the con-tinental United States (e.g., Alaska,Hawaii, the Commonwealth of PuertoRico), or (iii) any combination of these

areas, the expenses of travel, transpor-tation, moving and/or storage of house-hold goods, and other applicable allow-ances as provided in this chapter shallnot be allowed unless and until the em-ployee selected for such transfer or ap-pointment agrees in writing to remainin the service of the Government for 12months following the effective date ofthe transfer or appointment (or for 1school year for Department of Defenseoverseas dependents school systemteachers as determined under chapter25 of title 20 of the United States Code),unless separated for reasons beyondhis/her control and acceptable to theagency concerned. In case of a viola-tion of such an agreement, includingfailure to effect the transfer, any fundsexpended by the United States for suchtravel, transportation, and allowancesshall be recoverable from the individ-ual concerned as a debt due the UnitedStates.

(2) Except as precluded by this chap-ter, upon separation from service, theexpenses for return travel, transpor-tation, and moving and/or storage ofhousehold goods shall be allowedwhether the separation is for the pur-poses of the Government or for per-sonal convenience. However, such ex-penses shall not be allowed unless:

(i) The employee transferred or ap-pointed to posts of duty outside thecontinental United States shall haveserved for a minimum period of not lessthan 1 nor more than 3 years prescribedin advance by the head of the agency(or for 1 school year for Department ofDefense overseas dependents schoolsystem teachers as determined underchapter 25 of title 20, United StatesCode); or

(ii) Separation is for reasons beyondthe control of the individual and ac-ceptable to the agency concerned.

(3) The head of the agency also shallconsider requiring a service agreementin connection with the transfer of em-ployees not otherwise covered by thissubpart. The agreement shall providethat in determining any employee in-debtedness for violation of such agree-ment, credit shall be given to the ex-tent of any unused entitlements he/shemay have earned for return travel andtransportation to his/her place of ac-tual residence for separation.

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(c) Employee liability. The agreementto remain in the service of the Govern-ment for 12 months following the effec-tive date of transfer is not voided by asubsequent transfer whether such sub-sequent transfer is at the employee’srequest or in the interest of the Gov-ernment, nor is such agreement voidedby another service agreement made inconnection with a second transfer. Theliability of the employee for any fundsexpended by the United States for his/her travel, transportation, and reloca-tion allowances is a separate liabilityfor each service agreement. The liabil-ity in each instance is effective for thefull 12-month period in connection withthe transfer for which the serviceagreement was made.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 16, 56 FR 15050, Apr. 15, 1991; FTRAmdt. 17, 56 FR 23656, May 23, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.6 Time limits for beginningtravel and transportation.

All travel, including that for the im-mediate family, and transportation, in-cluding that for household goods al-lowed under this chapter, shall be ac-complished as soon as possible. Themaximum time for beginning allowabletravel and transportation shall not ex-ceed 2 years from the effective date ofthe employee’s transfer or appoint-ment, except that:

(a) The 2-year period is exclusive ofthe time spent on furlough for an em-ployee who begins active military serv-ice before the expiration of such periodand who is furloughed for the durationof his/her assignment to the post ofduty for which transportation andtravel expenses are allowed;

(b) The 2-year period does not includeany time during which travel andtransportation is not feasible due toshipping restrictions for an employeewho is transferred or appointed to orfrom a post of duty outside the con-tinental United States; and

(c) The 2-year period shall be ex-tended for an additional period of timenot to exceed 1 year when the 2-yeartime limitation for completion of resi-dence transactions is extended under§ 302–6.1(e).

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.7 Short distance involved.

(a) Transfers. When the change of offi-cial station involves a short distance(at least 10 miles between stations asprovided in § 302–1.3(a)(1)) within thesame general local or metropolitanarea, the travel and transportation ex-penses and applicable allowances inconnection with the employee’s reloca-tion of his/her residence shall be au-thorized only when the agency deter-mines that the relocation was incidentto the change of official station. Suchdetermination shall take into consider-ation such factors as commuting timeand distance between the employee’sresidence at the time of notification oftransfer and his/her old and new postsof duty as well as the commuting timeand distance between a proposed newresidence and the new post of duty. Or-dinarily, a relocation of residence shallnot be considered as incident to achange of official station unless theone-way commuting distance from theold residence to the new official sta-tion is at least 10 miles greater thanfrom the old residence to the old offi-cial station. Even then, circumstancessurrounding a particular case (e.g., rel-ative commuting time) may suggestthat the move of residence was not in-cident to the change of official station.(See also specific distance limitationsapplicable to individual allowances;i.e., househunting trips in § 302–4.3(c)and eligibility for temporary quarterssubsistence expenses in § 302–5.4(b).)

(b) Appointments. For new appointees,whose place of actual residence at thetime of selection for appointment andfirst duty station are located in thesame general local or metropolitanarea and who relocate their places ofresidence as a result of the appoint-ment, the travel and transportation ex-penses as provided in § 302–1.10 shall beauthorized only when the agency deter-mines that the relocation of residencewas incident to the appointment. Tothe extent applicable, the principlesprescribed for transferred employeesshall be considered in making this de-termination.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23657, May 23, 1991; FTRAmdt. 59, 62 FR 13756, Mar. 21, 1997; FTRAmdt. 63, 62 FR 13768, Mar. 21, 1997]

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§ 302–1.8 Two or more family membersemployed.

(a) Members of the same immediate fam-ily who are employees. When two ormore employees are members of thesame immediate family, the allowancesauthorized under this chapter shallapply either to:

(1) Each employee separately, inwhich instance none of the employeesis eligible for any allowance as a mem-ber of the immediate family; or

(2) Only one of the employees se-lected in accordance with paragraph (c)of this section, in which case the otheremployee(s) is eligible for allowancessolely as a member(s) of the immediatefamily.

(b) Non-employee members of the imme-diate family. When two or more em-ployee members of the same immediatefamily elect separate allowances underparagraph (a)(1) of this section, non-employee members of the immediatefamily shall not receive duplicate al-lowances because of the fact that theemployee members elected separate al-lowances.

(c) Payment limitation. When em-ployee members of the same immediatefamily elect separate allowances underparagraph (a)(1) of this section, the em-ploying agency or agencies shall notmake duplicate payment for the sameexpenses.

(d) Procedures. A determination as towhich of the two alternatives providedin paragraph (a) of this section is se-lected shall be made in writing andsigned by all employee members of thesame immediate family. When em-ployee family members elect separateallowances under paragraph (a)(1) ofthis section, the determination alsoshall specify under which employeemember’s authorization non-employeefamily members will receive allow-ances. A copy of this determinationshall be filed with the agency in whicheach employee member is employed.

[FTR Amdt. 20, 56 FR 46989, Sept. 17, 1991]

§ 302–1.9 Reduction in force involved.(a) Impending separation. When an em-

ployee is assigned to a new official sta-tion after having been notified of invol-untary separation not for cause but in-cident to the reduction, cessation, or

transfer of the work at the stationwhere he/she was employed, the trans-fer of the employee is deemed to be inthe interest of the Government unlessthere is an affirmative administrativedetermination that the transfer is pri-marily for the employee’s convenienceor benefit.

(b) Reemployment after separation. Aformer employee separated by reasonof reduction in force or transfer offunction who within 1 year of the dateof separation is reemployed by an agen-cy for a nontemporary appointment, ata different permanent duty stationfrom that where the separation oc-curred, may be allowed and paid the ex-penses and other allowances (excludingnontemporary storage when assignedto an isolated permanent duty stationwithin the continental United States)in the same manner as though he/shehad been transferred in the interest ofthe Government to the permanent dutystation where reemployed, from thepermanent duty station where sepa-rated, without a break in service, andsubject to the eligibility limitations asprescribed in this chapter.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.10 New appointees.(a) Coverage. New appointees to any

position are eligible for payment onlyof those travel and transportation ex-penses listed in paragraph (e) of thissection in relocating to their first offi-cial station. New appointees includestudent trainees who are assigned uponcompletion of college work. New ap-pointees include not only individualswhen first appointed to Governmentservice but also individuals appointedafter a break in service except that em-ployees separated as a result of reduc-tion in force or transfer of functionmay be treated as transferees insteadof new appointees under the conditionsset forth in § 302–1.9.

(b) Authorization and eligibility—(1)Authority to pay. Agencies may pay therelocation expenses allowed in para-graph (e) of this section for new ap-pointees determined eligible underparagraph (b)(2) of this section. How-ever, once an agency has made the de-termination to pay relocation expensesin an individual case, it must pay all of

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the allowable relocation expenses con-tained in paragraph (e) of this section.

(2) Eligibility determination. Eachagency shall establish specific criteriafor determining which new appointeesqualify for payment of allowable relo-cation expenses. The Office of Person-nel Management has issued guidelinesin 5 CFR part 572 for agencies to followin making these personnel determina-tions.

(c) Agency responsibility. Because newappointees usually lack experience inGovernment procedures, each agencyshall adopt special measures to providefull information to new appointees con-cerning the benefits which may beavailable to them for travel and trans-portation involved in reporting to theirofficial stations. Special care shall betaken to inform appointees of the limi-tations on available benefits.

(d) Procedural requirements—(1) Agree-ment. No payment for otherwise allow-able expenses or for an advance offunds shall be made unless the ap-pointee or student trainee has signedthe agreement appropriate in his/hercase as provided in § 302–1.5.

(2) Travel before appointment. Author-ized expenses may be paid even thoughthe individual concerned has not beenappointed at the time travel to thefirst official station is performed. Forindividuals who have performed Presi-dential transition activities, as de-scribed in § 302–1.3(a)(2), allowable trav-el and transportation may take placeat any time following the most recentPresidential election. However, entitle-ment to such expenses does not vest byvirtue of selection for the position orauthorization for travel as provided in§ 302–1.3(c) but vests only upon actualappointment of the individual con-cerned. However, nothing in this para-graph shall be construed to limit theprovisions of part 301–1, subpart C, al-lowing the payment of pre-employmentinterview travel.

(3) Prior payment. A student traineemay not receive payments at the timeof his/her assignment if the expenses oftravel and transportation were paid atthe time he/she was appointed as a stu-dent trainee.

(e) Allowable expenses. Items of ex-pense listed in paragraphs (e) (1)through (6) of this section are payable

under the conditions prescribed in thischapter governing the allowance inquestion. Note particularly that not allof the listed items will be applicable ineach situation covered by this part.

(1) Travel expenses including perdiem for the appointee or studenttrainee as set forth in § 302–2.1;

(2) Transportation for immediatefamily of appointee or student traineeas set forth in § 302–2.2(a);

(3) Mileage if privately owned vehicleis used in travel as set forth in § 302–2.3;

(4) Transportation and temporarystorage of household goods as set forthin part 302–8;

(5) Nontemporary storage of house-hold goods if appointed to an isolatedlocation as set forth in § 302–9.1; and

(6) Transportation of mobile homesas set forth in part 302–7.

(f) Expenses not allowable. Items of ex-pense not listed in paragraph (e) of thissection which are authorized for reim-bursement in case of transfers underthis chapter (e.g., per diem for family,cost of house-hunting trip, subsistencewhile occupying temporary quarters, amiscellaneous expense allowance, resi-dence sale and purchase expenses,lease-breaking expenses, and relocationservices) are not allowable to ap-pointees and student trainees eligibleunder this section.

(g) Alternate origin and destination.The limit on travel and transportationexpenses in each individual case is thecost of direct travel or transportationas allowable between the individual’splace of residence at the time of selec-tion or assignment (or in the case of in-dividuals having performed Presi-dential transition activities, as de-scribed in § 302–1.3(a)(2), the place ofresidence at the time of relocation fol-lowing the most recent Presidentialelection) and the official station towhich he/she is appointed or assigned;however, travel and transportationmay be from and/or to other locationsif the new appointee or student traineepays any excess cost involved in suchalternate travel or transportation.

(h) Advance of funds. An advance offunds for expenses allowable under thissection may be made to appointees andstudent trainees under the proceduresprescribed in § 302–1.14(a) and the part

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of this subtitle governing the allow-ance being considered.

[FTR Amdt. 17, 56 FR 23657, May 23, 1991, asamended by FTR Amdt. 26, 57 FR 28634, June26, 1992; FTR Amdt. 32, 58 FR 58243, Oct. 29,1993; FTR Amdt. 37, 59 FR 27488, May 27, 1994]

§ 302–1.11 [Reserved]

§ 302–1.12 Overseas assignment and re-turn.

(a) Transferees. Employees trans-ferred to, from, and between officialstations outside the continental UnitedStates are eligible for many of the ben-efits provided by this chapter, and em-ployees transferred to such stations areeligible for return transportation underthe conditions and limitations con-tained in paragraphs (c) through (g) ofthis section. Specific eligibility provi-sions and applicable limitations arecontained in the parts of this chapterrelating to the benefits provided.

(b) New appointees—(1) Residence attime of appointment. A new appointee toa position outside the continentalUnited States is eligible for certaintravel and transportation benefitsunder this chapter if his/her residenceat the time of appointment is in anarea other than the area in which his/her official station is located. Underthis rule ‘‘area’’ means a foreign coun-try, the continental United States,Alaska, Hawaii, the Commonwealth ofPuerto Rico or the Commonwealth ofthe Northern Mariana Islands, or aUnited States territory or possession.

(2) Allowable expenses. Allowances andthe parts of this chapter which applyare as follows:

(i) Travel and per diem for appointeesas set forth in § 302–2.1;

(ii) Travel for the appointee’s imme-diate family, but not per diem, as setforth in § 302–2.2;

(iii) Mileage to the extent travel isperformed by privately owned auto-mobile as set forth in § 302–2.3;

(iv) Transportation and temporarystorage of household goods as set forthin part 302–8;

(v) Nontemporary storage of house-hold goods as set forth in § 302–9.2;

(vi) Transportation of mobile homesin limited circumstances as set forth inpart 302–7; and

(vii) Transportation of an employee’spersonal automobile as set forth inpart 302–10.

(3) Expenses not allowable. Items of ex-pense not listed in paragraph (b)(2) ofthis section which are authorized forreimbursement under this chapter inthe case of transfers (e.g., per diem forfamily, cost of house-hunting trip, sub-sistence while occupying temporaryquarters, miscellaneous expense allow-ance, residence sale and purchase ex-penses, and lease-breaking expenses)may not be authorized for appointeeseligible under this section.

(4) Alternate origin or destination.Travel and transportation benefits au-thorized are from the employee’s resi-dence at time of appointment to his/herofficial station. If alternate origins ordestinations are involved, the costwhich will be paid by the Governmentmay not exceed the cost that wouldhave been incurred for the travel ortransportation in question between theresidence and the official station.

(5) Advance of funds. An advance offunds for expenses allowable underparagraph (b)(2) of this section may bemade to appointees under the proce-dures prescribed in § 302–1.14(a) and thepart of this chapter governing the al-lowance being considered.

(c) Actual place of residence designa-tion—(1) Designation by employee. Whenan employee is selected for transfer orappointment to a post of duty outsidethe continental United States, theplace of actual residence shall be deter-mined at the time of selection and des-ignated in the written agreement pre-scribed in § 302–1.5(b) to remain in theGovernment service for a minimum pe-riod of time prescribed by the agencyhead pursuant to law. An employeehired locally at a location outside thecontinental United States who claimsresidence at another location in theUnited States, the Commonwealth ofPuerto Rico or the Commonwealth ofthe Northern Mariana Islands, or aUnited States territory or possessionat time of appointment, shall designatein writing the claimed place of actualresidence for the consideration of agen-cy officials.

(2) Determination by agency official.Determination of the place of actual

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residence shall be made by an author-ized agency official on the basis of allthe facts in the record. When there isdoubt as to the place of actual resi-dence, the employee is responsible forsupplying any further information nec-essary to support designation of theclaimed place of actual residence.

(3) Guidance in determination of resi-dence. While it is not feasible to estab-lish rigid standards for what con-stitutes a place of residence, the con-cept of residence represented in an ex-isting statutory provision (8 U.S.C.1101(33)) may be used as general guid-ance. This concept views residence asthe place of general abode, meaningthe principal, actual dwelling place infact, without regard to intent. Deter-mination of the place of actual resi-dence is primarily an administrativeresponsibility and the place constitut-ing the actual residence must be deter-mined upon the factual circumstancesin each case. Examples of factors whichshall be considered, whenever applica-ble, by agency officials charged withthis responsibility are:

(i) The place of actual residence of adependent student generally is pre-sumed to be the same as that of theparents and, except in rare instances,this situation would not be changed bythe student attending college in an-other place.

(ii) The place at which the employeephysically resided at time of selectionfor appointment or transfer frequentlyconstitutes the place of actual resi-dence and shall be so regarded in theabsence of circumstances reasonablyindicating that another location maybe designated as the place of actualresidence.

(iii) Designation of a place of actualresidence in an official documentsigned by the employee earlier in Gov-ernment employment shall be regardedas originally intended to be a continu-ing designation, and the burden is uponthe employee to establish clearly thatthe earlier designation was in error orthat later circumstances entitle a dif-ferent designation to be made. After anemployee has been transferred or ap-pointed to a post of duty outside thecontinental United States, the locationof the place of actual residence incor-porated in the official records of such

employment shall be changed only tocorrect an error in the designation ofresidence.

(iv) Presence in the individual’s workhistory of a representative amount offull-time employment at or in the im-mediate geographic area of the loca-tion designated as place of actual resi-dence is a significant factor, but lackof such history does not preclude thedesignation of the location as place ofactual residence.

(v) The chronological record of indi-vidual or family association with a lo-cality is usually significant only inconnection with an analysis of othercircumstances explaining the nature ofsuch association. Frequent or extendedvisits to a locality must be evaluatedin relation to the purpose of the visitsand sometimes in relation to the na-ture of the area itself. For example, va-cation visits to a resort area, withoutthe added support of other factors,should not be regarded as adequate toestablish a place of actual residence.

(vi) Recognition and exercise by theemployee of the privileges and dutiesof citizenship in a particular jurisdic-tion, such as voting and payment oftaxes on income and personal propertyare factors for consideration, but agen-cy application of standards about placeof residence should not be such as todiscourage employees from propertyownership or participation in commu-nity affairs at a nonforeign locationoutside the continental United States.

(d) Return for separation. When an em-ployee is eligible for return travel andtransportation to his/her place of ac-tual residence upon separation aftercompletion of the period of servicespecified in an agreement executedunder § 302–1.5(b) or is separated forreasons beyond his/her control and ac-ceptable to the agency concerned, he/she may receive travel and transpor-tation to an alternate location, pro-vided the cost to the Government shallnot exceed the cost of travel and trans-portation to his/her residence at thetime he/she was assigned to an overseasstation. However, under decisions ofthe Comptroller General, ordinarily, anemployee is entitled to travel and

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transportation expenses upon separa-tion only to the country of actual resi-dence at the time of assignment tosuch duty.

(e) Prior return of immediate family—(1)When employee is eligible for returntransportation. When an employee hasbecome eligible for return transpor-tation by satisfactorily completing anagreed period of service at a post ofduty outside the continental UnitedStates, the Government shall pay one-way transportation expenses for re-turning the employee’s immediate fam-ily and household goods before the em-ployee’s return to his/her place of ac-tual residence in the 50 States, the Dis-trict of Columbia, the Commonwealthof Puerto Rico or the Commonwealthof the Northern Mariana Islands, or aUnited States territory or possession.

(2) Return for compassionate reasons.One-way transportation expenses forthe return of the employee’s imme-diate family and his/her householdgoods also may be paid without regardto the employee’s completion of anagreed period of service provided it hasbeen determined under regulations pre-scribed by the head of the agency con-cerned that the public interest requiresthe return of the immediate family forcompelling personal reasons of a hu-manitarian or compassionate nature,which may involve physical or mentalhealth, death of a member of the im-mediate family, or obligations imposedby authority or circumstances overwhich the individual has no control.

(3) Limited to one return trip. Expensesallowed as provided in paragraphs (e)(1) and (2) of this section shall be paidby the Government not more than onetime during each agreed period of serv-ice and are subject to chapter 301 ofthis title.

(4) Part of household goods retainedoverseas. In connection with the priorreturn of his/her family, the employeemay elect to retain a portion of thehousehold goods with him/her at thepost of duty and ship the remainder tohis/her place of actual residence. Insuch an instance, the Government willpay for shipment of both parts of thehousehold goods, provided the aggre-gate weight of both shipments does notexceed the applicable weight limits.

(5) Alternate destination. If the em-ployee’s immediate family and house-hold goods are returned to a location inthe 50 States, the District of Columbia,the Commonwealth of Puerto Rico orthe Commonwealth of the NorthernMariana Islands, or a United Statesterritory or possession other than theplace of actual residence therein, theallowable expenses shall not exceedthose allowable for return over a usu-ally traveled route between the post ofduty and the place of actual residence.

(6) Prior return at employee’s expense—reimbursement. There may be cir-cumstances in which an employeeelects to return his/her immediate fam-ily and the household goods or any partthereof at his/her own expense to anyof the 50 States, the District of Colum-bia, the Commonwealth of Puerto Ricoor the Commonwealth of the NorthernMariana Islands, or a United Statesterritory or possession when he/she isnot eligible for such transportationunder this paragraph. In such an in-stance, and after the employee be-comes eligible for transportation atGovernment expense, he/she may be re-imbursed for the proper expenses whichhe/she had previously paid. He/She willbe reimbursed in accordance with theapplicable provisions of this paragraphonly for expenses which are supportedby receipts or other appropriate docu-mentation furnished to the Govern-ment under regulations prescribed bythe head of the agency concerned.

(f) Return of former spouse and depend-ents. Paragraph (e) of this section alsoapplies to the spouse and dependents ofan employee who have traveled to theemployee’s overseas post of duty as de-pendents (as provided in § 302–1.4(f)) atGovernment expense, even if, becauseof divorce or annulment, such individ-uals will have ceased to be dependentsas of the date the employee becomes el-igible for return travel. Travel of suchformer dependents is authorized by theemployee’s next entitlement to returntravel but not beyond the end of theemployee’s current agreed tour of duty.

(g) Return of family member over 21. Ifa member of the immediate family, asdefined in § 302–1.4(f), reaches his/hertwenty-first birthday while the em-ployee is assigned to duty overseas,that person may be returned to the

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United States (or foreign location atwhich the actual residence is located)at Government expense, provided his/her last travel overseas was at Govern-ment expense as a member of the em-ployee’s immediate family. Return ofthat person is authorized by the em-ployee’s next entitlement to travel tothe United States (or foreign locationat which the actual residence is lo-cated) but not beyond the end of theemployee’s current agreed tour of duty.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 10, 55 FR 41536, Oct. 12, 1990; FTRAmdt. 17, 56 FR 23657, May 23, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.13 Overseas tour renewalagreement travel.

Employees may be eligible to receiveallowances for travel and transpor-tation expenses for the purpose of re-turning home to take leave betweentours of duty overseas as provided inthis section. These provisions are ap-plicable to employees serving tours ofduty at posts of duty outside theUnited States. These provisions arealso applicable to employees servingtours of duty in Alaska or Hawaii butonly under the conditions specified inparagraphs (a) (2) and (3) of this sec-tion.

(a) Eligibility. Employees may be eli-gible to receive allowances for traveland transportation expenses for return-ing home between tours of duty over-seas under the criteria set forth inparagraphs (a) (1) through (3) of thissection.

(1) Eligibility requirements for all areasoutside the continental United States. Inorder to be eligible for allowancesunder this section, an employee beforedeparture from his/her post of dutyoutside the continental United Statesmust have:

(i) Satisfactorily completed anagreed period of service or the pre-scribed tour of duty as provided in§ 302–1.5(b) for return travel entitle-ment;

(ii) Entered into a new written agree-ment as provided in § 302–1.5(b) for an-other period of service at the same oranother post of duty outside the con-tinental United States. The agreementshall cover costs incident to the travelto the employee’s place of actual resi-

dence or alternate location and returnand any additional cost paid by theGovernment as a result of a transfer ofthe employee to another official sta-tion overseas at the time of the tourrenewal agreement travel; but as pro-vided in § 302–1.5(b), the agreement willbe for 12 months with respect to thetransfer costs; and

(iii) Qualified for eligibility statusunder the provisions of paragraphs (a)(2) and/or (3) of this section, if the postof duty involved is located in Alaska orHawaii.

(2) Employees stationed in Alaska orHawaii on September 8, 1982. An em-ployee whose status on September 8,1982, was any one of the situations list-ed in paragraph (a)(2) (i), (ii), or (iii) ofthis section involving a post of duty inAlaska or in Hawaii will continue to beeligible to receive allowances for traveland transportation expenses for tourrenewal agreement travel provided theemployee continues to serve consecu-tive tours of duty at posts of dutywithin Alaska or at posts of duty with-in Hawaii. Transfers between a post ofduty in Alaska and a post of duty inHawaii will not constitute consecutivetours of duty for purposes of continu-ing eligibility under this section. OnSeptember 8, 1982, the employee musthave been:

(i) Serving a current tour of duty inAlaska or Hawaii;

(ii) En route to a post of duty inAlaska or Hawaii under a writtenagreement to serve a tour of duty; or

(iii) Engaged in tour renewal agree-ment travel and have entered into anew written agreement to serve an-other tour of duty in Alaska or in Ha-waii.

(3) Employees assigned, appointed, ortransferred to a post of duty in Alaska orHawaii after September 8, 1982. (i) Exceptfor situations described in paragraph(a)(2) of this section, the travel andtransportation expenses allowable fortour renewal agreement travel underthis section may not otherwise be au-thorized for employees assigned, ap-pointed, or transferred to a post ofduty in Alaska or Hawaii after Septem-ber 8, 1982, unless it is determinedunder regulations prescribed by theagency head that payment of these ex-penses is necessary for the purpose of

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recruiting or retaining an employee forservice of a tour of duty at a post ofduty in Alaska or Hawaii. This author-ity must be used sparingly and onlywhen required to fulfill agency staffingneeds to accomplish the agency’s mis-sion. These provisions are intended toensure the availability of well qualifiedemployees or those employees withspecial skills and knowledge who arenot available in the local area, and tofill positions in remote areas. Agencyregulations shall prescribe criteria andguidelines to determine the need forpayment of tour renewal agreementtravel expenses. The agency determina-tion that it is necessary to pay the ex-penses of tour renewal agreement trav-el as a recruiting or retention incen-tive in order to fill a particular posi-tion in Alaska or Hawaii shall be re-viewed periodically but not less thanevery 5 years.

(ii) The payment of travel and trans-portation expenses for tour renewalagreement travel for recruiting or re-tention purposes is limited to tworound trips beginning within 5 yearsafter the date the employee first beginsany period of consecutive tours of dutyin Alaska or Hawaii. Employees shallbe advised in writing of this limitation.

(4) Effect on other allowances. Para-graphs (a) (2) and (3) of this section donot affect the provisions of § 302–1.12governing overseas assignments and re-turn for employees transferred or newappointees to posts of duty in Alaskaand Hawaii.

(b) Allowable travel and transpor-tation—(1) Destination. An eligible em-ployee and his/her immediate familyshall be allowed expenses for travelfrom the post of duty outside the con-tinental United States to his/her placeof actual residence at the time of as-signment to a post of duty outside thecontinental United States (also re-ferred to as ‘‘actual residence’’ in thissection). Those expenses shall also beallowed from the place of actual resi-dence upon return to the same or an-other post of duty outside the con-tinental United States; except with re-spect to Alaska and Hawaii, the returnmust be to a post of duty located with-in the same State (Alaska or Hawaii)as the post of duty at which the em-ployee served immediately before tour

renewal agreement travel (see para-graph (a)(2) of this section).

(2) Allowances. These allowances arepayable under chapter 301 of this titleand are limited to per diem and trans-portation costs for the employee andtransportation costs, but not per diem,for his/her immediate family. (See§ 302–2.1.) If a transfer is also involved,family per diem may be paid as author-ized by § 302–2.2(b) to the extent suchper diem is payable incident to directtravel between posts of duty.

(3) Alternate destination. An employeeand his/her family may travel to a lo-cation in the United States, the Com-monwealth of Puerto Rico or the Com-monwealth of the Northern Mariana Is-lands, a United States territory or pos-session, or another country in whichthe place of actual residence is locatedother than the location of the place ofactual residence; however, an employeewhose actual residence is in the UnitedStates must spend a substantialamount of time in the United States,the Commonwealth of Puerto Rico orthe Commonwealth of the NorthernMariana Islands, or a United Statesterritory or possession incident totravel under this section to be entitledto the allowance authorized. Theamount allowed for travel and trans-portation expenses when travel is to analternate location shall not exceed theamount which would have been allowedfor travel over a usually traveled routefrom the post of duty to the place ofactual residence and for return to thesame or a different post of duty outsidethe continental United States as thecase may be.

(c) Limitations—(1) Husband and wifeboth employed. If husband and wife areboth employed in the immediate geo-graphic area by the same or differentagencies as employees under the termsof this chapter, the allowances author-ized in this section shall apply to eachof them separately, in which instanceneither of them is eligible for any al-lowances as the spouse, or to either ofthem, in which instance one is consid-ered the head of the household and theother is eligible for allowances as thespouse. In applying these alternatives,other members of the immediate fam-ily shall not receive duplicate allow-ances because of the fact that both

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Relocation Allowances § 302–1.13

husband and wife are employees. A de-termination as to which of the two al-ternatives is selected shall be made inwriting and shall be signed by bothhusband and wife. A copy of this deter-mination shall be filed with the agencyin which each is employed.

(2) Local hires not eligible—(i) Marriedpersons in area with spouse. An em-ployee hired locally is not eligible forallowances under this section if he/sheis married and is in the immediate geo-graphic area because his/her spouse isin the area as a member of the ForeignService, a member of the uniformedservices (as defined in title 37, U.S.C.),a private individual, or an employee ofa private individual or a non-Federalorganization.

(ii) Minors in area with parents. Anemployee hired locally who is unmar-ried and under 21 years of age is not el-igible for allowances under this sectionif a parent of the employee is in theimmediate geographic area as a mem-ber of the Foreign Service, a memberof the uniformed services (as defined intitle 37, U.S.C.), a civilian employeeunder the terms of this subtitle, a pri-vate individual, or an employee of aprivate individual or a non-Federal or-ganization.

(iii) Denial of allowance to eligible localhires. Under regulations prescribed bythe head of the agency concerned, theagency may in its discretion refuse eli-gibility for allowances under this sub-part to an employee who was hired lo-cally and who did not sign a writtenagreement as provided under § 302–1.5(b), provided the agency notifies theemployee of its intention before theemployee has completed a period ofservice equal to the period generallyapplicable to employees of the agencyserving at the post of duty concernedor in the same geographic area.

(d) Liability of employee—noncompli-ance with new agreement. An employeewho, for reasons not beyond his/hercontrol and not acceptable to the agen-cy concerned, fails to complete the pe-riod of service specified in a new serv-ice agreement is obligated for expensesand for allowances paid to him/her.

(1) Failure to complete initial year ofservice. (i) If the employee fails to com-plete 1 year of service under a newagreement, he/she is indebted to the

Government for any amounts spent bythe Government for:

(A) His/her transportation and perdiem and transportation for his/her im-mediate family incident to tour re-newal agreement travel from the postof duty to his/her place of actual resi-dence and from the place of actual resi-dence to the last post of duty where he/she failed to complete a year of service;

(B) Transportation for any memberof the immediate family who traveledfrom the former to the last post ofduty without going to the actual placeof residence;

(C) Transportation of his/her house-hold goods from the former post ofduty to the last post of duty (includingamounts spent for packing, crating,drayage, unpacking, and temporarystorage); and

(D) Any other allowances paid underthis subtitle when a transfer of officialstation is involved.

(ii) In addition, the employee mustbear the expense of transportation forhimself/herself, and the family andhousehold goods from the last post ofduty to the place of actual residence,and he/she is indebted to the Govern-ment for any amounts spent by theGovernment for these purposes.

(iii) The employee is entitled to anallowance if, prior to his/her currentagreement which he/she did not com-plete, he/she completed an agreed pe-riod of service for which he/she did notreceive all allowances to which he/shewas entitled. The employee in such aninstance is entitled to allowances forthe return of himself/herself, and thefamily and household goods (includingcosts of packing, crating, drayage, un-packing, and temporary storage) fromthe post of duty at which the formerperiod of service was completed to theactual place of residence.

(iv) Since the employee did not availhimself/herself of the entitlement de-scribed in paragraph (d)(1)(iii) of thissection, the costs that would have beenincurred for that purpose may be ap-plied as a setoff against the indebted-ness described in paragraphs (d)(1) (i)and (ii) of this section. The setoffamount shall be applied as follows:

(A) If the amount of the setoff is lessthan the indebtedness, the difference isa debt due the United States; or

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–1.14

(B) If the setoff is larger than the in-debtedness, the difference (excesssetoff) will be applied to the costs, forwhich the employee is responsible, ofmoving the employee, and the familyand household goods from the post ofduty where he/she failed to complete ayear of service to the place of actualresidence. If the amount of excesssetoff equals or exceeds the costs forwhich the employee is responsible, theGovernment will procure and pay forsuch transportation in full. If theamount of excess setoff is less than thecosts for which the employee is respon-sible, the Government may procure andpay for the transportation and obtainreimbursement from the employee forthe difference between the total costsand the amount of the excess setoff tobe applied against the costs, or allowthe employee to pay the total costs andreimburse him/her for the applicableamounts upon submission of an appro-priate voucher.

(2) Failure to complete agreed periodafter initial year. (i) If the employeecompletes 1 year or more of serviceunder a new agreement, but does notcomplete the entire period of servicespecified in the agreement, he/she isnot indebted to the Government foramounts spent by the Government fortransportation and per diem for theemployee and for transportation of his/her immediate family incident to tourrenewal agreement travel from thepost of duty at which he/she completedthe previous tour of duty to his/herplace of actual residence and from theplace of actual residence to the post ofduty at which he/she failed to completethe agreed upon tour of duty. Further-more, if the post of duty where the em-ployee failed to complete his/her agree-ment is not the same as the placewhere he/she did complete his/her pre-vious assignment, he/she is not in-debted for the costs of transportingany members of the immediate familywho traveled from the former to thelatter post of duty without going to theactual place of residence, nor for thecosts of transporting his/her householdgoods between these two posts of duty,including any related costs of packing,crating, drayage, unpacking, and tem-porary storage or for other allowances

paid under this chapter incident to thetransfer of official station.

(ii) However, when the employee failsto complete the agreed period of serv-ice after the initial year, the employeemust bear the costs of transportationfor himself/herself and the immediatefamily and household goods from thepost of duty at which he/she did notcomplete the agreed upon tour of dutyunder the new agreement to the placeof actual residence.

(iii) For the reasons described inparagraph (d)(1)(iii) of this section,however, the employee shall be allowedcredit for an amount equal to the costsof transporting, from the post of dutyat which the former period of servicewas completed to the place of actualresidence, the household goods and anymembers of the immediate family whodid not accompany him/her when he/she returned to the place of actual resi-dence incident to renewal agreementtravel toward the costs (see paragraph(d)(2)(ii) of this section) of return tothe place of actual residence.

(iv) The credit amount allowable andthe costs involved shall be computed inthe same manner as provided in para-graph (d)(1)(iv) of this section.

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 10, 55 FR 41536, Oct. 12, 1990; FTRAmdt. 16, 56 FR 15050, Apr. 15, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992]

§ 302–1.14 Use of funds.(a) Advance of funds—(1) Basis. An

employee may be advanced funds foruse while traveling and for certain ex-penses which he/she may incur incidentto a transfer based on his/her prospec-tive entitlement to reimbursement forthose expenses after they are incurred.

(2) Rules. Advances and collection ofadvances by deduction from the em-ployee’s voucher are subject to chapter301 of this title.

(3) Anticipated entitlements which mayjustify an advance. The expected enti-tlement of an employee to reimburse-ment for the following expenses willform the basis for payment of a traveladvance. Specific authority with re-gard to each type of expense is con-tained in the sections governing theparticular allowances.

(i) Per diem, mileage, and commoncarrier costs incident to his/her change

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Relocation Allowances § 302–1.100

of official station travel as set forth in§ 302–2.4;

(ii) Authorized househunting trips asset forth in § 302–4.16 of this chapter;

(iii) Subsistence while occupyingtemporary quarters as set forth in§ 302–5.15 of this chapter;

(iv) Transportation and temporarystorage of household goods as set forthin § 302–8.6;

(v) Transportation of mobile homesas set forth in § 302–7.5; and

(vi) Transportation and emergencystorage of employee’s privately ownedvehicle as set forth in § 302–10.11 of thischapter.

(b) Funding of transfers between agen-cies. In the case of transfer from oneagency to another, allowable expensesshall be paid from the funds of theagency to which the employee is trans-ferred. However, in transfers betweenagencies for reasons of reduction-in-force or transfer of functions, expensesallowable under this chapter may bepaid in whole or in part by the agencyfrom which the employee is transferredor by the agency to which he/she istransferred as may be agreed upon bythe heads of the agencies concerned ex-cept as excluded in paragraphs (b) (1)and (2) of this section.

(1) Nontemporary storage when as-signed to an isolated permanent dutystation within the continental UnitedStates; and

(2) Transfers to, from, or between for-eign countries (except the areas and in-stallations in the Republic of Panamamade available to the United Statesunder the Panama Canal Treaty of 1977and related agreements (as described insection 3(a) of the Panama Canal Act of1979)).

[54 FR 20306, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992;FTR Amdt. 59, 62 FR 13756, Mar. 21, 1997; FTRAmdt. 63, 62 FR 13768, Mar. 21, 1997; FTRAmdt. 65, 62 FR 13794, Mar. 21, 1997]

§ 302–1.15 Waiver of limitations for anemployee relocating to or from a re-mote or isolated location.

The head of an agency or his/her des-ignee may waive any limitation con-tained in subchapter II of chapter 57 oftitle 5, United States Code, or in anyregulation (including this chapter) im-plementing those statutory provisions,

for any employee relocating to or froma remote or isolated location when thefollowing conditions are met:

(a) The limitation if not waivedwould cause the employee to suffer ahardship; and

(b) The head of the agency or his/herdesignee certifies in writing that thelimitation is waived and the reason(s)for the waiver.

[FTR Amdt. 58, 62 FR 10709, Mar. 10, 1997]

Subpart B—Relocation Entitle-ments Upon Separation forRetirement

§ 302–1.100 Applicability.(a) Individuals covered—(1) Career ap-

pointees to the Senior Executive Service(SES). The provisions of this subpartare applicable to career appointees inSES positions. For purposes of thissubpart, the definitions in paragraphs(a)(1) (i) and (ii) of this section apply.

(i) Career appointee as defined in 5U.S.C. 3132(a)(4) means an individual inan SES position whose appointment tothe position or previous appointmentto another SES position was based onapproval by the Office of PersonnelManagement of the executive qualifica-tions of such individual.

(ii) Senior Executive Service (SES) posi-tion as defined in 5 U.S.C. 3132(a)(2)means:

(A) Any position in an agency whichis classified above GS–15 of the GeneralSchedule pursuant to 5 U.S.C. 5108 or isin Level IV or V of the ExecutiveSchedule; or

(B) An equivalent position which isnot required to be filled by an appoint-ment by the President by and with theadvice and consent of the Senate, andis a position which includes one ormore of the duties listed in 5 U.S.C.3132(a)(2).

(2) Appointees who elect to retain SESretirement benefits. The provisions ofthis subpart are applicable to a non–SES appointee if the conditions listedin paragraphs (a)(2) (i) through (iii) ofthis section are met:

(i) The appointee’s basic rate of payis at Level V of the Executive Scheduleor higher;

(ii) The appointee was previously acareer appointee in the SES; and

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–1.101

(iii) The appointee elected under 5U.S.C. 3392(c) to retain SES retirementbenefits.

(3) Medical Center Directors. The pro-visions of this subpart are applicable toindividuals who:

(i) Served as a director of a Depart-ment of Veteran’s Affairs medical cen-ter under 38 U.S.C. 4103(a)(8) as in ef-fect on November 17, 1988;

(ii) Separated from Government serv-ice on or after October 2, 1992; and

(iii) Are not otherwise covered underparagraph (a) (1) or (2) of this section.

(b) Immediate family of deceased cov-ered individual. The provisions of thissubpart apply to the immediate familyof a covered individual, as defined inparagraph (a)(1) of this section, whosatisfies the eligibility criteria in § 302–1.101, and who:

(1) Died in Government service on orafter January 1, 1994; or

(2) Died after separating from Gov-ernment service but before travel and/or transportation authorized under thissubpart were completed.

(c) Exclusions. The provisions of thissubpart are not applicable to individ-uals whose appointment in the SES isa limited term, limited emergency, ornoncareer appointment. (See 5 U.S.C.3132(a) (5) through (7) for definitions ofexcluded types of appointment.)

[FTR Amdt. 32, 58 FR 58243, Oct. 29, 1993, asamended by 62 FR 26374, May 13, 1997]

§ 302–1.101 Eligibility criteria.Upon separation from Federal service

for retirement, a covered individual asdefined in § 302–1.100(a) of this subpart(or a deceased covered individual’s im-mediate family as described in § 302–1.100(b)) is eligible for those travel andtransportation allowances specified in§ 302–1.103 of this subpart, if such indi-vidual meets the following criteria:

(a) Was transferred or reassigned geo-graphically at any time in the interestof the Government and at Governmentexpense from one official station to an-other for permanent duty in a positiondescribed in § 302–1.100(a) of this sub-part, including a transfer or reassign-ment:

(1) From an SES career appointmentto another SES career appointment;

(2) From an SES career appointmentto an appointment outside the SES at

a rate of pay equal to or higher thanLevel V of the Executive Schedule, andthe employee elects to retain SES re-tirement benefits under 5 U.S.C. 3392;or

(3) From other than an SES careerappointment, including an appoint-ment in a civil service position outsidethe SES, to an SES career appoint-ment;

(b) At the time of the transfer or re-assignment:

(1) Was eligible to receive an annuityfor optional retirement under section8336(a), (b), (c), (e), (f), or (j) of sub-chapter III of chapter 83 (Civil ServiceRetirement System (CSRS)) or undersection 8412 of subchapter II of chapter84 (Federal Employees Retirement Sys-tem (FERS)) of title 5, U.S.C.; or

(2) Was within 5 years of eligibility toreceive an annuity for optional retire-ment under one of the authorities inparagraph (b)(1) of this section; or

(3) Was eligible to receive an annuitybased on discontinued service retire-ment, or early voluntary retirementunder an OPM authorization, undersection 8336(d) of subchapter III ofchapter 83 or under section 8414(b) ofsubchapter II of chapter 84 of title 5,U.S.C.;

(c) Is separated from Federal serviceon or after September 22, 1988;

(d) Is eligible to receive an annuityupon such separation (or, in the case ofdeath in Government service, met therequirements for being considered eli-gible to receive an annuity, as of thedate of death) under the provisions ofsubchapter III of chapter 83 (CSRS) orchapter 84 (FERS) of title 5, U.S.C., in-cluding an annuity based on optionalretirement, discontinued service retire-ment, early voluntary retirementunder an OPM authorization, or dis-ability retirement; and

(e) Has not previously been author-ized and received ‘‘last move home’’benefits upon separation from Federalservice for retirement.

[FTR Amdt. 16, 56 FR 15050, Apr. 15, 1991; 56FR 28796, June 24, 1991, as amended by FTRAmdt. 32, 58 FR 58243, Oct. 29, 1993; 62 FR26375, May 13, 1997]

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Relocation Allowances § 302–1.105

§ 302–1.102 Agency authorization orapproval.

(a) Covered individuals. An individualwho is eligible for moving expensesunder this subpart shall submit a re-quest to the designated agency officialfor authorization or approval of themoving expenses stating tentativemoving dates and origin and destina-tion locations of the planned move.Such requests shall be submitted in aformat and timeframe as prescribed byagency policy and procedures.

(b) Immediate family of deceased cov-ered individual. Travel and transpor-tation under this subpart are payablefor the immediate family of a coveredindividual who died while in Govern-ment service during the period begin-ning on January 1, 1994, and ending Oc-tober 6, 1994, upon the immediate fami-ly’s written application submitted tothe designated agency official by May13, 1998.

[62 FR 26375, May 13, 1997]

§ 302–1.103 Allowable expenses.When the head of the agency con-

cerned, or his/her designee, authorizesor approves, the travel and transpor-tation expenses specified in this sec-tion shall be paid for those individualswho are eligible for such expensesunder § 302–1.101. Allowable expensesare as follows:

(a) Travel expenses including perdiem under § 302–2.1 for the individual.

(b) Transportation expenses under§ 302–2.2(a), but not per diem, for the in-dividual’s immediate family.

(c) Mileage allowance under § 302–2.3,to the extent travel is performed byprivately owned automobile.

(d) Transportation and temporarystorage of household goods under part302–8 not to exceed 18,000 pounds netweight.

[FTR Amdt. 16, 56 FR 15050, Apr. 15, 1991; 56FR 28796, June 24, 1991]

§ 302–1.104 Expenses not allowable.Items of expense not listed in § 302–

1.103 which generally are authorized forreimbursement in the case of trans-ferred employees; (e.g., per diem forfamily, cost of househunting trip, sub-sistence while occupying temporaryquarters, miscellaneous expense allow-

ance, residence sale and purchase ex-penses, leasebreaking expenses, non-temporary storage of household goods,relocation income tax allowance, andrelocation services) are not authorizedupon the eligible individual’s retire-ment.

[FTR Amdt. 16, 56 FR 15050, Apr. 15, 1991, asamended by FTR Amdt. 32, 58 FR 58244, Oct.29, 1993]

§ 302–1.105 Origin and destination.(a) The expenses listed in § 302–1.103

may be paid from the official stationwhere separation of the eligible indi-vidual occurs to the place where the in-dividual has elected to reside withinthe United States, the Commonwealthof Puerto Rico or the Commonwealthof the Northern Mariana islands, aUnited States territory or possession,or the former Canal Zone area (i.e.,areas and installations in the Republicof Panama made available to theUnited states under the Panama CanalTreaty of 1977 and related agreements(as described in section 3(a) of the Pan-ama Canal Act of 1979)); or if the indi-vidual dies before separating or afterseparating but before the travel andtransportation are completed, expensesmay be paid from the deceased individ-ual’s official station at the time ofdeath or where separation occurred, asappropriate, to the place within theareas listed in this paragraph wherethe immediate family elects to resideeven if different from the place electedby the separated eligible individual.

(b) Travel and transportation ex-penses may be paid from an alternateorigin or more than one origin providedthe cost does not exceed the cost thatthe Government would have paid if alltravel and transportation had origi-nated at the official station from whichthe individual was separated to theplace where the individual, or the im-mediate family, will reside.

(c) This subpart comtemplates amove to a different georgraphical area.In the event the place where the indi-vidual has elected to reside is withinthe same general local or metropolitanarea in which the official station orresidence was located at the time ofthe individual’s separation, the ex-penses authorized by this subpart maynot be paid unless the mileage criteria

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–1.106

specified in § 302–1.7 for a short distancetransfer are met.

[54 FR 29716, July 14, 1989, as amended byFTR Amdt. 16, 56 FR 15050, Apr. 15, 1991; 56FR 28796, June 24, 1991; FTR Amdt. 26, 57 FR28635, June 26, 1992; FTR Amdt. 32, 58 FR58244, Oct. 29, 1993; 62 FR 26375, May 13, 1997]

§ 302–1.106 Time limits for beginningtravel and transportation.

(a) Except as provided in paragraph(b) of this section, all travel, includingthat for the separated covered individ-ual, and transportation, including thatfor household goods, allowed under thissubpart, shall be accomplished within 6months of the date of separation (ordate of death if the individual died be-fore separating), or other reasonableperiod of time as determined by theagency concerned, but in no case laterthan 2 years from the effective date ofthe individual’s separation from Gov-ernment service (or date of death if theindividual died before separating).

(b) For the immediate family of acovered individual who died in Govern-ment service between January 1, 1994and May 13, 1997, all travel and trans-portation, including that for householdgoods, allowed under this subpart, shallbe accomplished no later than May 13,1999.

[62 FR 26375, May 13, 1997]

§ 302–1.107 Use of funds.

Travel advances will not be issued tocover any of the expenses authorizedby this subpart. Transportation ex-penses should be paid through the useof U.S. Government Transportation Re-quests and U.S. Government Bills ofLading to the maximum extent pos-sible to minimize travel and transpor-tation costs and the need for individ-uals to use personal funds. However, in-dividuals who have been authorized orapproved to make their own moving ar-rangements may be reimbursed fortheir actual transportation expensesnot to exceed applicable coach air faresfor transportation of the individual andimmediate family, or the applicable al-lowances under the commuted rateschedule for moving and storage of thehousehold goods.

[FTR Amdt. 16, 56 FR 15051, Apr. 15, 1991]

Subpart C—Employee’sTemporary Change of Station

SOURCE: FTR Amdt. 64, 62 FR 13771, Mar.21, 1997, unless otherwise noted.

NOTE TO SUBPART C: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–1.200 What is a ‘‘temporarychange of station (TCS)’’?

TCS means the relocation of an em-ployee to a new official station for atemporary period while the employeeis performing a long-term assignment,and subsequent return of the employeeto the previous official station uponcompletion of that assignment.

§ 302–1.201 What is the purpose of aTCS?

TCS provides agencies an alternativeto a long-term temporary duty travelassignment to increase employee satis-faction and enhance morale, reduce theemployee’s income tax liability, andsave the Government money.

§ 302–1.202 Am I eligible for a TCS?

Yes, if you are an employee who is di-rected to perform a long-term assign-ment at a temporary location, and youotherwise would be eligible for pay-ment of temporary duty travel allow-ances authorized under chapter 301 ofthis subtitle. For exceptions, see § 302–1.203.

§ 302–1.203 Who is not eligible for aTCS?

The following individuals are not eli-gible for a TCS:

(a) A new appointee;(b) An employee assigned to or from

a State or local Government under theIntergovernmental Personnel Act (5U.S.C. 3372, et. seq.);

(c) An individual employed intermit-tently in the Government service as aconsultant or expert and paid on adaily when-actually-employed (WAE)basis;

(d) An individual serving without payor at $1 a year; or

(e) An employee assigned under theGovernment Employees Training Act (5U.S.C. 4109).

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Relocation Allowances § 302–1.214

§ 302–1.204 Must my agency authorizea TCS when I am directed to per-form a long-term assignment at atemporary official station?

No. Your agency determines the con-ditions under which a TCS is necessaryto accomplish the purposes of the Gov-ernment effectively and economically.

§ 302–1.205 Under what circumstanceswill my agency authorize a TCS?

Your agency will authorize a TCSwhen:

(a) You are directed to perform along-term assignment at another dutystation;

(b) Your agency otherwise could au-thorize temporary duty travel and paytravel allowances, including paymentof subsistence expenses, under chapter301 of this subtitle for the long-termassignment;

(c) Your agency determines it wouldbe more advantageous, cost and otherfactors considered, to authorize a TCS;and

(d) You meet any additional condi-tions your agency has established.

§ 302–1.206 If my agency authorizes aTCS, do I have the option of elect-ing payment of temporary dutytravel allowances instead?

No.

§ 302–1.207 How long must my assign-ment be for me to qualify for aTCS?

Not less than 6 months, nor morethan 30 months.

§ 302–1.208 What is the effect on myTCS reimbursement if my assign-ment lasts less than 6 months?

Your agency may authorize a TCSonly when a long-term assignment isexpected to last 6 months or more. Ifyour assignment is cut short for rea-sons other than separation from Gov-ernment service, you will be paid TCSexpenses.

§ 302–1.209 What is the effect on myTCS reimbursement if my assign-ment lasts more than 30 months?

If your assignment exceeds 30months, your agency must perma-nently assign you to the temporary of-ficial station or return you to your pre-vious official station. Your agency may

not pay for nontemporary storage orproperty management services in-curred after the last day of the thirti-eth month. Your agency must pay theexpenses of returning you and your im-mediate family and household goods toyour previous official station unlessyou are permanently assigned to yourtemporary official station.

§ 302–1.210 Is there any required mini-mum distance between an officialstation and a long-term assignmentlocation that must be met for me toqualify for a TCS?

No. Your agency may establish thearea within which it will not authorizea TCS.

§ 302–1.211 Must I sign a service agree-ment to qualify for a TCS?

No.

§ 302–1.212 What is my official stationduring my long-term assignment?

Your official station is the locationof your long-term assignment.

EXPENSES PAID UPON ASSIGNMENT

§ 302–1.213 What expenses must myagency pay for a TCS upon my as-signment?

Your agency must pay the following:(a) Travel, including per diem, for

you and your immediate family underpart 302–2 of this chapter;

(b) Transportation and temporarystorage of your household goods underpart 302–8 of this chapter;

(c) Transportation of a mobile homeinstead of transportation of householdgoods under part 302–7 of this chapter;

(d) A miscellaneous expenses allow-ance under part 302–3 of this chapter;

(e) Transportation of a privatelyowned vehicle(s) under part 302–10 ofthis chapter; and

(f) A relocation income tax allowanceunder part 302–11 of this chapter for ad-ditional income taxes you incur onpayments your agency makes underthe authority of this section and § 302–1.214 for your relocation expenses.

§ 302–1.214 What expenses may myagency pay for a TCS upon my as-signment?

Your agency may pay the following:

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–1.215

(a) Househunting trip expenses underpart 302–4 of this chapter; and

(b) Temporary quarters subsistenceexpenses under part 302–5 of this chap-ter.

EXPENSES PAID DURING ASSIGNMENT

§ 302–1.215 If my agency authorizes aTCS, will it pay for nontemporarystorage of my household goods?

Yes, when nontemporary storage isnecessary. Nontemporary storage ex-penses include necessary packing, crat-ing, unpacking, uncrating, transport-ing to and from place of storage,charges while in storage, and othernecessary charges directly related tostorage.

§ 302–1.216 How long may my agencypay for nontemporary storage ofhousehold goods?

For the duration of your long-termassignment.

§ 302–1.217 Is there any limitation onthe combined weight of householdgoods I may transport or nontempo-rarily store at Government ex-pense?

Yes, the maximum combined weightis 18,000 pounds net weight. If youtransport and/or nontemporarily storehousehold goods in excess of the maxi-mum weight allowance, you will be re-sponsible for any excess cost.

§ 302–1.218 What are the income taxconsequences if my agency pays fornontemporary storage of my house-hold goods?

You will be taxed on the amount ofnontemporary storage expenses youragency pays. However, your agencywill pay you a relocation income taxallowance under part 302–11 of thischapter for substantially all of the ad-ditional Federal, State and local in-come taxes you incur on the expensesyour agency pays.

§ 302–1.219 Will my agency pay forproperty management serviceswhen I am authorized a TCS?

Yes. Your agency will reimburse youdirectly for expenses you incur ormake payments on your behalf to a re-location services company, if you sochoose. The term ‘‘property manage-ment services’’ refers to a program pro-vided by a private company for a fee,which assists you in managing yourresidence at your previous official sta-tion as a rental property. Services pro-vided by the company may include, butare not limited to, obtaining a tenant,negotiating a lease, inspecting theproperty regularly, managing repairsand maintenance, enforcing leaseterms, collecting the rent, paying themortgage and other carrying expensesfrom rental proceeds and/or funds ofthe employee, and accounting for thetransactions and providing periodic re-ports to the employee.

§ 302–1.220 What is the property forwhich my agency will pay for prop-erty management services?

Only your residence at your previousofficial station.

§ 302–1.221 How long will my agencypay for property management serv-ices?

For the duration of your long-termassignment.

§ 302–1.222 What are the income taxconsequences when my agency paysfor property management services?

You will be taxed on the amount ofproperty management expenses youragency pays, whether it reimbursesyou directly for your expenses or paysa relocation services company to man-age your residence. However, youragency will pay you a relocation in-come tax allowance under part 302–11 ofthis chapter for substantially all of theadditional Federal, State and local in-come taxes you incur on the expensesyour agency pays. You may wish toconsult with a tax advisor to determinewhether you will incur any additional

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tax liability, unrelated to your agen-cy’s payment of your property manage-ment expenses, as a result of maintain-ing your residence as a rental property.

EXPENSES PAID UPON COMPLETION OFASSIGNMENT OR UPON SEPARATIONFROM GOVERNMENT SERVICE

§ 302–1.223 What expenses will myagency pay when I complete mylong-term assignment?

Your agency will pay the followingexpenses in connection with your re-turn to your previous official station:

(a) Travel, including per diem, foryou and your immediate family underpart 302–2 of this chapter;

(b) Transportation and temporarystorage of your household goods underpart 302–8 of this chapter;

(c) Transportation of a mobile homeinstead of transportation of yourhousehold goods under part 302–7 ofthis chapter;

(d) Temporary quarters subsistenceexpenses under part 302–5 of this chap-ter;

(e) A miscellaneous expenses allow-ance under part 302–3 of this chapter;

(f) Transportation of a privatelyowned vehicle(s) under part 302–10 ofthis chapter; and

(g) A relocation income tax allow-ance under part 302–11 of this chapterfor additional income taxes you incuron payments your agency makes underthe authority of this section for yourrelocation expenses.

§ 302–1.224 If I separate from Govern-ment service upon completion ofmy long-term assignment, what re-location expenses will my agencypay upon my separation?

The same relocation expenses itwould have paid had you not separatedfrom Government service upon comple-tion of your long-term assignment.

§ 302–1.225 If I separate from Govern-ment service prior to completion ofmy long-term assignment, what re-location expenses will my agencypay upon my separation?

If the separation is for reasons be-yond your control that are acceptableto your agency, your agency will paythe same relocation expenses it wouldpay under § 302–1.224 if you separated

from Government service upon comple-tion of the long-term assignment. Ifthis is not the case, the expenses youragency pays may not exceed the reim-bursement that you would have re-ceived under chapter 301 of this sub-title had you been auhorized to per-form temporary duty travel for the du-ration of the long-term assignment.

§ 302–1.226 If I have been authorizedsuccessive temporary changes ofstation and reassigned from onetemporary official station to an-other, what expenses will my agen-cy pay upon completion of my lastassignment or my separation fromGovernment service?

Your agency will pay the expensesauthorized in § 302–1.223 for your reloca-tion from your current temporary offi-cial station to your last permanent of-ficial station.

PERMANENT ASSIGNMENT TO TEMPORARYOFFICIAL STATION

§ 302–1.227 How is payment of my TCSexpenses affected if I am perma-nently assigned to my temporary of-ficial station?

Payment of TCS expenses stops onceyour temporary official station be-comes your permanent official station.Your agency may not pay any TCS ex-penses incurred beginning the day yourtemporary official station becomesyour permanent official station.

§ 302–1.228 What relocation allowancesmay my agency pay when I am per-manently assigned to my temporaryofficial station?

Your agency may pay the following:(a) Travel, including per diem, under

part 302–2 of this chapter for one roundtrip between your temporary officialstation and your previous official sta-tion for you and members of your im-mediate family who relocated to thetemporary official station with you.Your agency may also pay the same ex-penses for a one-way trip from the pre-vious official station to the new perma-nent official station for any immediatefamily members who did not accom-pany you to the temporary official sta-tion.

(b) Residence transaction expensesunder part 302–6 of this chapter;

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(c) Property management expensesunder part 302–14 of this chapter;

(d) Residence-related relocation serv-ices expenses, (e.g. expenses under ahomesale program, expenses forhomefinding assistance, and propertymanagement services) under part 302–12of this chapter;

(e) Temporary quarters subsistenceexpenses under part 302–5 of this chap-ter;

(f) Transportation of household goodsnot previously transported to the tem-porary official station under part 302–8of this chapter; and

(g) Transportation of a privatelyowned vehicle(s) not previously trans-ported to the temporary official sta-tion under part 302–10 of this chapter.

§ 302–1.229 If I am permanently as-signed to my temporary official sta-tion, is there any limitation on theweight of household goods I maytransport at Government expenseto my official station?

Yes. You are limited to 18,000 poundsnet weight. This maximum weight willbe reduced by the weight of any house-hold goods transported at Governmentexpense to your temporary official sta-tion under your TCS authorization.Subject to the 18,000 pound limit, youragency will pay to transport anyhousehold goods in nontemporary stor-age to your official station. Addition-ally, if you change your residence as aresult of your permanent assignmentto your temporary official station,your agency may pay for transportingyour household goods, subject to the18,000 pound limit, between the resi-dence you occupied during your tem-porary assignment and your new resi-dence.

§ 302–1.230 Are there any relocation al-lowances my agency may not pay ifI am permanently assigned to mytemporary official station?

Your agency may not pay for the fol-lowing:

(a) Expenses of a househunting tripfor you and your spouse to your tem-porary official station under part 302–4of this chapter; or

(b) Residence transaction expensesfor selling a residence or breaking alease at the temporary official stationunder part 302–6 of this chapter.

Subpart D—Agency Responsibil-ities for Temporary Change ofStation

SOURCE: FTR Amdt. 64, 62 FR 13774, Mar.21, 1997, unless otherwise noted.

NOTE TO SUBPART D: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–1.300 How should we administerour TCS program?

To minimize your travel and reloca-tion costs.

§ 302–1.301 What governing policiesmust we establish for our TCS pro-gram?

Policies and procedures that govern:(a) When you will authorize a TCS,

including whether you will impose aminimum distance between the em-ployee s current official station andthe proposed temporary official stationfor an employee to qualify for a TCS;and

(b) Who will determine whether au-thorization of a TCS is appropriate ineach situation.

§ 302–1.302 What factors should weconsider in determining whether toauthorize a TCS for a long-term as-signment?

You should consider the followingfactors in determining whether to au-thorize a TCS:

(a) Cost considerations. You shouldconsider the cost of each alternative. Along-term temporary duty travel as-signment requires the payment of ei-ther per diem or actual subsistence ex-penses for the entire period of the as-signment. This could be very costly tothe agency over an extended period. ATCS will require fairly substantial re-location allowance payments at the be-ginning and end of the assignment, andless substantial payments for non-temporary storage and property man-agement services, when authorized,during the period of the assignment.Agencies should estimate the total costof each alternative and authorize theone that is most advantageous for theagency, cost and other factors consid-ered.

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(b) Length of the long-term assignment.You should consider the length of thelong-term assignment. The purpose oftemporary duty travel allowances is toreimburse an employee for additionalcosts, including subsistence costs, in-curred as a result of performing officialbusiness away from his/her official sta-tion. An employee receives a salary in-tended to cover his/her living expenses,including subsistence costs, at the offi-cial station. When an employee per-forms a long-term assignment and ob-tains extended stay living accommoda-tions with facilities not unlike thosethe employee has at the official sta-tion, the assignment characteristicsmay be more similar to subsisting atthe official station than at a tem-porary duty station. When this situa-tion occurs, payment of temporaryduty travel allowances in addition topayment of salary creates an inequi-table reimbursement situation betweenan employee performing official traveland an employee officially stationed atthe same location. In this situation,you should strongly consider authoriz-ing a TCS for a long-term assignment.

(c) Tax considerations. An employeewho performs a temporary duty travelassignment exceeding one year at asingle location is subject to incometaxation of his/her travel expense reim-bursements. An employee who is au-thorized and performs a TCS also willbe subject to income taxation of some,but not all, of his/her TCS expenses.You will pay an offsetting relocationincome tax allowance on an employee’sTCS expense reimbursements but un-less specifically authorized by statute,you do not have authority to pay suchan allowance for income taxes incurredon temporary duty travel reimburse-ments. You, therefore, should author-ize a TCS if a long-term temporaryduty assignment will result in an unre-imbursable income tax liability on anemployee.

(d) Employee concerns. The long-termassignment of an employee away fromhis/her official station and immediatefamily may negatively affect the em-ployee’s morale and job performance.Such negative effects may be allevi-ated by authorizing a TCS so the em-ployee can transport his/her immediatefamily and/or household goods at Gov-

ernment expense to the location wherehe/she will perform the long-term as-signment. You should consider the ef-fects of a long-term temporary dutytravel assignment on an employeewhen deciding whether to authorize aTCS.

PART 302–2—ALLOWANCES FORSUBSISTENCE AND TRANSPOR-TATION

Sec.302–2.1 For the employee.302–2.2 For members of an employee’s im-

mediate family.302–2.3 For use of a privately owned auto-

mobile in connection with permanentchange of station.

302–2.4 Advance of funds.

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

§ 302–2.1 For the employee.(a) Applicability. This part applies to

travel of(1) Transferred employees,(2) New appointees, and(3) Employees assigned to posts of

duty outside the continental UnitedStates in connection with either over-seas tour renewal agreement travel orreturn travel to places of residence forthe purpose of separation.

(b) Payment for employee’s travel ex-penses. Except as specifically providedin this chapter, an agency shall pay perdiem, transportation costs, and othertravel expenses of the employee in ac-cordance with the provisions of 5U.S.C. 5701–5709 and chapter 301 of thistitle. The prohibition in § 301–7.5(b) ofthis title on paying per diem for travelof 12 hours or less applies to change ofofficial station travel.

(c) Maximum per diem rates for reloca-tion travel—(1) Travel when en route be-tween employee’s old and new official sta-tions. The maximum per diem rate foren route travel within CONUS betweenthe employee’s old and new official sta-tions shall be the standard CONUS rateprescribed under § 301–7.3 of this title.

(2) Travel to seek residence quarters.The maximum per diem rate for travelto seek residence quarters shall be thelesser of the maximum per diem rateprescribed under § 301–7.3 of this title

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for the locality where the employeeseeks residence quarters or for the lo-cality where the employee obtainslodging accommodations. An agencymay prescribe the standard CONUSrate as the maximum per diem rate ifit determines that establishment ofsuch lower rate is advantageous to theGovernment.

[FTR Amdt. 54, 61 FR 68161, Dec. 27, 1996]

§ 302–2.2 For members of an employ-ee’s immediate family.

(a) Transportation. Except as specifi-cally provided in this chapter, allow-able travel expenses for the employee’simmediate family, including transpor-tation, are governed by chapter 301 ofthis title. Travel of the immediatefamily may begin at the employee’s oldofficial station or some other point, orpartially at both, and may end at thenew official station or some otherplace selected by the employee, or par-tially at both. However, the cost to theGovernment for transportation of theimmediate family shall not exceed theallowable cost by the usually traveledroute between the employee’s old andnew official stations.

(b) Per diem allowance when en routebetween employee’s old and new officialstations. When an employee is trans-ferred, an allowance shall be paid forper diem expenses incurred by the em-ployee’s immediate family while trav-eling between the old and new officialstations regardless of where the oldand new stations are located. If the ac-tual travel involves departure and/ordestination points other than the oldor new official station, the per diem al-lowance shall not exceed the amount towhich members of the immediate fam-ily would have been entitled if theyhad traveled by a usually traveledroute between the old and new officialstations. The prohibition in § 301–7.5(b)of this title on paying per diem fortravel of 12 hours or less applies tochange of official station travel. Themaximum allowable per diem rates areas follows:

(1) For the spouse—(i) When accom-panying the employee. When the spouseaccompanies the employee who is trav-eling under § 302–2.1, the spouse is au-thorized three-fourths of the per diemrate to which the employee is entitled.

However, under this provision the min-imum per diem rate shall be $6 unlessthe employee receives a per diem rateof less than $6 and, in that instance,the spouse will receive the same rate asthe employee.

(ii) When not accompanying the em-ployee. When the spouse is not accom-panying the employee while he/she istraveling under § 302–2.1, the spouse isauthorized the per diem rate to whichthe employee is entitled under § 302–2.1.In such instance the travel time of theemployee and the amount of per diemallowance paid him/her are not factorsin computing the amount of per diemallowance for travel of the spouse.(When more than one privately ownedautomobile is used, the spouse shall beconsidered to have been accompaniedby the employee if travel is performedon the same days along the same gen-eral route.)

(2) For each other member of the em-ployee’s immediate family. Three-fourthsof the per diem rate to which the em-ployee is entitled is authorized for eachother member age 12 or older, and one-half of the per diem rate to which theemployee is entitled is authorized foreach child under 12 years of age. How-ever, under this provision the mini-mum per diem rate shall be $6 unlessthe employee received a per diem rateof less than $6 and, in that instance,the member shall receive the same rateas the employee.

(c) Exclusions. The provisions of para-graph (b) of this section do not author-ize payment of per diem allowances formembers of the immediate families of:

(1) New appointees;(2) Employees assigned to posts of

duty outside the continental UnitedStates in connection with overseastour renewal agreement travel;

(3) Employees assigned to posts ofduty outside the continental UnitedStates returning to places of actualresidence for separation; or

(4) Employees assigned under theGovernment Employees Training Act (5U.S.C. 4109).

[54 FR 20314, May 10, 1989, as amended byFTR Amdt. 10, 55 FR 41537, Oct. 12, 1990; FTRAmdt. 17, 56 FR 23657, May 23, 1991; FTRAmdt. 54, 61 FR 68161, Dec. 27, 1996]

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§ 302–2.3 For use of a privately ownedautomobile in connection with per-manent change of station.

(a) Determination of advantage to theGovernment. When an employee, with orwithout an immediate family, who iseligible for travel allowances underpart 302–1, uses a privately owned auto-mobile for permanent change of stationtravel, that use is deemed to be advan-tageous to the Government. The provi-sions in § 302–2.3 also apply to new ap-pointees, and employees returningfrom posts of duty outside the con-tinental United States to places of ac-tual residence for separation. The pro-visions do not apply to employees as-signed to posts of duty outside the con-tinental United States in connectionwith overseas tour renewal agreementtravel. (See § 302–1.13.)

(b) Mileage rates prescribed. Paymentof mileage allowances, when authorizedor approved in connection with thetransfer, shall be allowed as follows:

Occupants of automobileMileage

rate(cents)

Employee only; or one member of immediate fam-ily .......................................................................... 15

Employee and one member; or two members ofimmediate family .................................................. 17

Employee and two members; or three members ofimmediate family .................................................. 19

Employee and three or more members; or four ormore members of immediate family .................... 20

(c) Mileage rates in special cir-cumstances. Heads of agencies may pre-scribe that travel orders or other ad-ministrative determinations specifyhigher mileage rates at a rate not morethan the maximum rate prescribed in§ 301–4.2(a)(1) of this title for individualtransfers of employees or transfers ofgroups of employees when:

(1) Employees are expected to use theprivately owned automobiles on offi-cial business while assigned to the newduty stations;

(2) The common carrier rates for thefacilities provided between the old andnew stations, the related constructivetaxicab fares to and from terminals,and the per diem allowances prescribedunder this part justify a higher mileagerate as advantageous to the Govern-ment; or

(3) The costs of driving the privatelyowned automobile to, from, or between

official stations located outside thecontinental United States justify ahigher mileage rate as advantageous tothe Government.

(d) Maximum per diem allowances whenprivately owned automobile is used—(1)Rates as prescribed by agency. The perdiem allowance for the employee whileen route between the old and new dutystations shall be at appropriate rates,as prescribed by the agency concerned,within the applicable maximums andin accordance with provisions of § 302–2.1 and chapter 301 of this title. The perdiem allowances prescribed in § 302–2.2(b) apply for members of an employ-ee’s immediate family, except as ex-cluded in § 302–2.2(c).

(2) Maximum allowance based on totaldistance. Per diem allowances should bepaid on the basis of actual time used tocomplete the trip, but the allowancesmay not exceed an amount computedon the basis of a minimum driving dis-tance per day which is prescribed asreasonable by the authorizing officialand is not less than an average of 300miles per calendar day. An exception tothe daily minimum driving distancemay be made by the agency concernedwhen travel between the old and newofficial stations is delayed for reasonsclearly beyond the control of the trav-elers such as acts of God, restrictionsby Governmental authorities, or otherreasons acceptable to the agency; e.g.,a physically handicapped employee. Insuch cases, per diem may be allowedfor the period of the delay or for ashorter period as determined by theagency. The traveler must provide astatement on his/her reimbursementvoucher fully explaining the cir-cumstances which necessitated the enroute travel delay. The exception tothe daily minimum driving distance re-quires the approval of the agency’s au-thorizing official.

(3) Method of computation. In comput-ing the per diem amount for a pre-scribed minimum driving distance perday, one-fourth of the prescribed perdiem rate shall be allowed for eachone-fourth of the prescribed minimumdistance. For example, if the authoriz-ing official prescribes a per diem rateof $12 for the employee and a reason-able minimum driving distance of 400miles a day, the per diem amount will

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be $3 for each 100 miles or fraction of100 miles traveled between the old andnew official stations.

(e) Use of more than one privatelyowned vehicle—(1) When authorized asadvantageous to the Government. Use ofno more than one privately ownedautomobile is authorized under thispart as being advantageous to the Gov-ernment in connection with permanentchange of station travel except underthe following special circumstances,when use of more than one privatelyowned automobile may be authorized:

(i) If there are more members of theimmediate family than reasonably canbe transported with luggage in one ve-hicle;

(ii) If because of age or physical con-dition special accommodations are nec-essary in transporting a member of theimmediate family in one vehicle, and asecond automobile is required for trav-el of other members of the immediatefamily;

(iii) If an employee must report to anew official station in advance of trav-el by members of the immediate familywho delay travel for acceptable reasonssuch as completion of school term, saleof property, settlement of personalbusiness affairs, disposal or shipmentof household goods, and temporary un-availability of adequate housing at thenew official station;

(iv) If a member of the immediatefamily performs unaccompanied travelbetween authorized points other thanthose for the employee’s travel; or

(v) If, in advance of the employee’sreporting date, immediate familymembers must travel to the new offi-cial station for acceptable reasons suchas to enroll children in school at thebeginning of the term.

(2) Allowances applicable. In those in-stances where more than one auto-mobile is authorized under this para-graph, the allowances under para-graphs (b), (c), and (d) of this sectionapply for each automobile and the oc-cupants thereof.

(3) Allowances when not justified as ad-vantageous to the Government. If the useof more than one privately owned auto-mobile is not justified under the cir-cumstances described in this para-graph, only the allowances prescribedin paragraphs (b), (c), and (d) of this

section shall be paid, as if all personsinvolved traveled in one automobile.

[54 FR 20314, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23657, May 23, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992; FTRAmdt. 42, 59 FR 66626, Dec. 27, 1994]

§ 302–2.4 Advance of funds.

Advance of funds may be made forper diem and mileage allowances asprovided in §§ 302–2.1, 302–2.2(b), and 302–2.3 except in connection with employ-ees assigned to posts of duty outsidethe continental United States perform-ing authorized or approved overseastour renewal agreement travel. Suchadvances may also be made upon re-turn to the place of residence for thepurpose of separation under the poli-cies and procedures prescribed in § 302–1.14(a).

[54 FR 20314, May 10, 1989]

PART 302–3—ALLOWANCE FORMISCELLANEOUS EXPENSES

Sec.302–3.1 Applicability.302–3.2 Eligibility.302–3.3 Allowable amount.302–3.4 Advance of funds.

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20316, May 10, 1989, unlessotherwise noted.

§ 302–3.1 Applicability.

(a) Purpose for allowance. The mis-cellaneous expenses allowance author-ized by §§ 302–3.2 and 302–3.3 is for de-fraying various contingent costs asso-ciated with discontinuing residence atone location and establishing residenceat a new location in connection withan authorized or approved permanentchange of station.

(b) Types of costs covered. The allow-ance is related to expenses that arecommon to living quarters, furnish-ings, household appliances, and toother general types of costs inherent inrelocation of a place of residence (seepart 302–7 for specific costs normallyassociated with relocation of a mobilehome dwelling that are covered under

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transportation expenses). The costs in-tended to be reimbursed under the mis-cellaneous expenses allowance include,but are not limited to the following:

(1) Fees for disconnecting and con-necting appliances, equipment, andutilities involved in relocation andcosts of converting appliances for oper-ation on available utilities;

(2) Fees for cutting and fitting rugs,draperies, and curtains moved from oneresidence quarters to another;

(3) Utility fees or deposits that arenot offset by eventual refunds;

(4) Forfeiture losses on medical, den-tal, and food locker contracts that arenot transferable; and contracts for pri-vate institutional care, such as thatprovided for handicapped or invalid de-pendents only, which are not transfer-able or refundable; and

(5) Costs of automobile registration,driver’s license, and use taxes imposedwhen bringing automobiles into certainjurisdictions.

(c) Types of costs not covered. This al-lowance shall not be used to reimbursethe employee for costs or expenses in-curred which exceed maximums pro-vided by statute or in this subtitle;costs or expenses that the employee in-curred but which are disallowed else-where in this subtitle; costs reimbursedunder other provisions of law or regula-tions; costs or expenses incurred forreasons of personal taste or preferenceand not required because of the move;losses covered by insurance; fines orother penalties imposed upon the em-ployee or members of his/her imme-diate family; judgments, court costs,and similar expenses growing out ofcivil actions; or any other expensesbrought about by circumstances, fac-tors, or actions in which the move to anew duty station was not the proxi-mate cause. Examples of costs whichare not reimbursable from this allow-ance are as follows:

(1) Losses in selling or buying realand personal property and cost itemsrelated to such transactions;

(2) Costs which are reimbursed underother provisions of this subtitle orunder any other regulations or underprovisions of any statute;

(3) Cost of additional insurance onhousehold goods while in transit to the

new official station or cost of loss ordamage to such property;

(4) Additional costs of moving house-hold goods caused by exceeding themaximum weight limitation for whichthe employee has eligibility as pro-vided by law or in this chapter;

(5) Costs of newly acquired items,such as the purchase or installationcost of new rugs or draperies;

(6) Higher income, real estate, sales,or other taxes as the result of estab-lishing residence in the new locality;

(7) Fines imposed for traffic infrac-tions while en route to the new officialstation locality;

(8) Accident insurance premiums orliability costs incurred in connectionwith travel to the new official stationlocality, or any other liability imposedupon the employee for uninsured dam-ages caused by accidents for which he/she or a member of his/her immediatefamily is held responsible;

(9) Losses as the result of the sale ordisposal of items of personal propertynot considered convenient or prac-ticable to move;

(10) Damage or loss of clothing, lug-gage, or other personal effects whiletraveling to the new official station lo-cality;

(11) Subsistence, transportation, ormileage expenses in excess of theamounts reimbursed as per diem orother allowances under this regulation;

(12) Medical expenses due to illnessor injuries of the employee or membersof the immediate family while en routeto the new official station or while liv-ing in temporary quarters at Govern-ment expense under the provisions ofpart 302–5; or

(13) Costs incurred in connectionwith structural alterations; remodelingor modernizing of living quarters, ga-rages or other buildings to accommo-date privately owned automobiles, ap-pliances or equipment; or the cost ofreplacing or repairing worn-out or de-fective appliances, or equipmentshipped to the new location.

[54 FR 20316, May 10, 1989, as amended byFTR Amdt. 20, 56 FR 46989, Sept. 17, 1991;FTR Amdt. 26, 57 FR 28635, June 26, 1992]

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§ 302–3.2 Eligibility.(a) Coverage. A miscellaneous expense

allowance will be payable to an em-ployee for whom a permanent changeof station is authorized or approvedand who has discontinued and estab-lished a residence in connection withsuch change regardless of where the oldor new official station is located, pro-vided the applicable eligibility condi-tions in part 302–1 are met and theagreement required in § 302–1.5 issigned.

(b) Exclusions. The provisions of thispart do not apply for new appointees,employees assigned under the Govern-ment Employees Training Act (see 5U.S.C. 4109), or employees returningfrom overseas assignments for the pur-pose of separation.

[54 FR 20316, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23657, May 23, 1991; FTRAmdt. 26, 57 FR 28635, June 26, 1992]

§ 302–3.3 Allowable amount.Employees eligible for a miscellane-

ous expense allowance shall be paid anamount under paragraph (a) of this sec-tion or reimbursed an amount underparagraph (b) of this section, but notboth, as follows:

(a) Allowances in the followingamounts will be paid without supportor other documentation of expenses:

(1) $350 or the equivalent of 1 week’sbasic pay, whichever is the lesseramount, for an employee without im-mediate family; and

(2) $700 or the equivalent of 2 weeks’basic pay, whichever is the lesseramount, for an employee with imme-diate family.

(b) Allowances in excess of those pro-vided in paragraph (a) of this sectionmay be authorized or approved, if sup-ported by acceptable statements of factand either paid bills or other accept-able evidence justifying the amountsclaimed, provided the aggregateamount does not exceed the employee’sbasic pay (at the time the employee re-ported for duty) for 1 week if the em-ployee is without an immediate family,or for 2 weeks if the employee has animmediate family. In no instance willthe amount exceed the maximum rateof grade GS–13 provided in 5 U.S.C. 5332at the time the employee reported for

duty. The entire amount claimed underthis paragraph (including the amountotherwise payable without such docu-mentation under paragraph (a) of thissection) must be supported as requiredin this paragraph.

[54 FR 20316, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–3.4 Advance of funds.

No advance of funds is authorized inconnection with the allowance pro-vided in this part.

[54 FR 20316, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

PART 302–4—ALLOWANCE FORHOUSEHUNTING TRIP EXPENSES

Subpart A—Employee’s Allowance ForHousehunting Trip Expenses

Sec.302–4.1 What is a ‘‘househunting trip’’?302–4.2 What is the purpose of the

househunting trip expenses allowance?302–4.3 Am I eligible for a househunting trip

expenses allowance?302–4.4 Who is not eligible for a

househunting trip expenses allowance?302–4.5 Must my agency authorize payment

of a househunting trip expenses allow-ance?

302–4.6 Under what circumstances will I re-ceive a househunting trip expenses allow-ance?

302–4.7 Who may travel on a househuntingtrip at Government expense?

302–4.8 How many househunting trips maymy agency authorize in connection witha particular transfer?

302–4.9 May my spouse and I perform sepa-rate househunting trips at Governmentexpense?

302–4.10 How soon may I and/or my spousebegin a househunting trip?

302–4.11 Is there a time limit on the dura-tion of a househunting trip?

302–4.12 When must my househunting tripbe completed?

302–4.13 What methods may my agency useto reimburse me for househunting tripexpenses?

302–4.14 What transportation expenses willmy agency pay?

302–4.15 Must I document my househuntingtrip expenses to receive reimbursement?

302–4.16 May I receive an advance of fundsfor househunting trip expenses?

302–4.17 Am I in a duty status when I per-form a househunting trip?

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Subpart B—Agency Responsibilities

302–4.100 How should we administer thehousehunting trip expenses allowance?

302–4.101 What governing policies must weestablish for the househunting trip ex-penses allowance?

302–4.102 Under what circumstances may weauthorize a househunting trip?

302–4.103 What factors must we consider indetermining whether to offer an em-ployee the fixed amount househuntingtrip subsistence expenses reimbursementoption?

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: FTR Amdt. 63, 62 FR 13768, Mar.21, 1997, unless otherwise noted.

Subpart A—Employee’s Allow-ance for Househunting TripExpenses

NOTE TO SUBPART A: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–4.1 What is a ‘‘househuntingtrip’’?

The term ‘‘househunting trip’’ refersto a trip made by the employee and/orspouse to the new official station local-ity to find permanent living quartersto rent or purchase. The term ‘‘livingquarters’’ in this part includes apart-ments, condominiums, and coopera-tives in addition to townhomes and sin-gle family homes.

§ 302–4.2 What is the purpose of thehousehunting trip expenses allow-ance?

The allowance for househunting tripexpenses is intended to facilitate andexpedite the employee’s move from theold official station to the new officialstation and to lower the Government’soverall cost for the employee’s reloca-tion by reducing the amount of time anemployee must occupy temporaryquarters. The allowance forhousehunting trip expenses providesthe employee and/or spouse a period oftime to concentrate on finding a suit-able permanent residence at the newofficial station and thereby expeditesthe employee’s relocation.

§ 302–4.3 Am I eligible for ahousehunting trip expenses allow-ance?

You are eligible for a househuntingtrip expenses allowance if you are anemployee who is authorized to transfer,and in addition:

(a) Both your old and new officialstations are located within the UnitedStates;

(b) You are not assigned to Govern-ment or other prearranged housing atthe new official station; and

(c) Your old and new official stationsare 75 or more miles apart (as meas-ured by map distance) via a usuallytraveled surface route.

§ 302–4.4 Who is not eligible for ahousehunting trip expenses allow-ance?

New appointees and employees as-signed under the Government Employ-ees Training Act (5 U.S.C. 4109) are noteligible for a househunting trip ex-penses allowance.

§ 302–4.5 Must my agency authorizepayment of a househunting trip ex-penses allowance?

No. Your agency determines when itis in the Government’s interest to au-thorize you a househunting trip andthe procedures you must follow if it isauthorized.

§ 302–4.6 Under what circumstanceswill I receive a househunting tripexpenses allowance?

You will receive a househunting tripexpenses allowance if:

(a) Your agency authorized you toperform a househunting trip in advanceof the travel (the agency authorizationmust specify the mode of transpor-tation and the period of time allowedfor the trip);

(b) You have signed a service agree-ment;

(c) Your agency has established, andinformed you of, the date you are to re-port to your new official station; and

(d) You meet any additional condi-tions your agency has established.

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§ 302–4.7 Who may travel on ahousehunting trip at Governmentexpense?

Only you and/or your spouse maytravel on a househunting trip at Gov-ernment expense.

§ 302–4.8 How many househuntingtrips may my agency authorize inconnection with a particular trans-fer?

Your agency may authorize only oneround trip for you and/or your spousein connection with a particular trans-fer.

§ 302–4.9 May my spouse and I performseparate househunting trips at Gov-ernment expense?

Yes. However, your reimbursementwill be limited to the cost that wouldhave been incurred if you and yourspouse had traveled together on oneround trip.

§ 302–4.10 How soon may I and/or myspouse begin a househunting trip?

You may begin your househuntingtrip as soon as your agency has noti-

fied you of your transfer and issued atravel authorization for ahousehunting trip. To take maximumadvantage of your trip, however, it isvery important that you become famil-iar as quickly as you can with yournew official station area (e.g., housingmarket conditions, school locations,etc.). If you are selling your residenceat your old official station, you shouldnot begin your househunting trip untilyou have a current appraisal of thevalue of the residence so that you canmore accurately determine the appro-priate price range of residences to con-sider during your househunting trip.

§ 302–4.11 Is there a time limit on theduration of a househunting trip?

A househunting trip should be for areasonable period, not to exceed 10 cal-endar days, as authorized by youragency under § 302–4.101(d).

§ 302–4.12 When must myhousehunting trip be completed?

You and/or your spouse must com-plete your househunting trip as indi-cated in the following table:

For Your househunting trip must be completed by

You ............................................ The day before you report to your new official station.Your spouse .............................. The earlier of:

(a) the day before your family relocates to your new official station; or(b) The day before the maximum time for beginning allowable travel expires (see § 302–

1.6 of this chapter).

§ 302–4.13 What methods may my agency use to reimburse me for househuntingtrip expenses?

Your agency will reimburse your househunting trip expenses as indicated in thefollowing table:

For You are reimbursed

You and/or your spouse’s trans-portation expenses.

Your actual transportation costs.

You and/or your spouse’s sub-sistence expenses.

One of the following:

(a) A per diem allowance for you and/or your spouse as prescribed under part 302–2 ofthis chapter; or

(b) If you accept your agency’s offer of the fixed amount option, and:(1) Both you and your spouse perform a househunting trip either together or separately,

a single amount determined by multiplying the applicable locality rate (listed in appen-dix A to chapter 301 of this subtitle) by 6.25, or

(2) Only one of you performs a househunting trip, an amount determined by multiplyingthe applicable locality rate (listed in appendix A to chapter 301 of this subtitle) by 5.

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Relocation Allowances § 302–4.102

§ 302–4.14 What transportation ex-penses will my agency pay?

Your agency will authorize you totravel by the transportation mode(s)(e.g., airline, train, or privately ownedautomobile) it determines to be advan-tageous to the Government. Your agen-cy will pay for your transportation ex-penses by the authorized mode(s). Ifyou travel by any other mode(s), youragency will pay your transportationexpenses not to exceed the cost oftransportation by the authorizedmode(s).

§ 302–4.15 Must I document myhousehunting trip expenses to re-ceive reimbursement?

To receive reimbursement forhousehunting trip transportation ex-penses you must itemize your transpor-tation expenses and provide receipts asrequired by § 301–11.3(c) of this subtitle.For fixed amount househunting tripsubsistence reimbursement, you do notdocument your subsistence expenses.For per diem househunting trip sub-sistence expense reimbursement, youmust itemize your lodging expensesand you must provide receipts as re-quired by § 301–7.9(b) and § 301–11.3(c) ofthis subtitle.

§ 302–4.16 May I receive an advance offunds for househunting trip ex-penses?

Your agency may authorize an ad-vance of funds, in accordance with§ 302–1.14(a) of this chapter, for yourhousehunting trip expenses. Your agen-cy may not advance you funds in ex-cess of the sum of your anticipatedtransportation costs and either themaximum per diem allowable underpart 302–2 of this chapter for the loca-tion and duration of your househuntingtrip or your fixed amounthousehunting trip subsistence expensespayment, whichever applies.

§ 302–4.17 Am I in a duty status when Iperform a househunting trip?

Yes.

Subpart B—AgencyResponsibilities

NOTE TO SUBPART B: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–4.100 How should we administerthe househunting trip expenses al-lowance?

You should administer thehousehunting trip expenses allowanceto minimize or avoid its use whenother satisfactory and more economi-cal arrangements are available.

§ 302–4.101 What governing policiesmust we establish for thehousehunting trip expenses allow-ance?

You must establish policies and pro-cedures governing:

(a) When you will authorize ahousehunting trip for an employee;

(b) Who will determine if ahousehunting trip is appropriate ineach situation;

(c) If and when you will authorize thefixed amount option for househuntingtrip subsistence expenses reimburse-ment;

(d) Who will determine the appro-priate duration of a househunting tripfor an employee who selects a per diemallowance under part 302–2 of this chap-ter to reimburse househunting tripsubsistence expenses; and

(e) Who will determine the mode(s) oftransportation to be used.

§ 302–4.102 Under what circumstancesmay we authorize a househuntingtrip?

You may authorize a househuntingtrip on an individual-case basis whenthe employee has accepted the transferand his/her circumstances indicate thata househunting trip actually is needed.You may not authorize a househuntingtrip when the purpose of the trip is toassist the employee in deciding wheth-er he or she will accept the transfer.

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–4.103

§ 302–4.103 What factors must we con-sider in determining whether tooffer an employee the fixed amounthousehunting trip subsistence ex-penses reimbursement option?

You must consider the following fac-tors:

(a) Ease of administration. Payment ofa per diem allowance under part 302–2of this chapter requires you to reviewclaims for the validity, accuracy, andreasonableness of each expenseamount, except for meals and inciden-tal expenses. Fixed amounthousehunting trip subsistence expensesreimbursement is easier to administerbecause you do not have to review ex-pense amounts.

(b) Cost considerations. You mustweigh the cost of each reimbursementoption on a case-by-case basis.

(c) Treatment of employees. The em-ployee is allowed to choose between aper diem allowance under part 302–2 ofthis chapter and fixed amounthousehunting trip subsistence expensesreimbursement when you offer thefixed amount reimbursement method.You therefore should weigh employeemorale and productivity considerationsagainst actual cost considerations indetermining which method to offer.

PART 302–5—ALLOWANCE FORTEMPORARY QUARTERS SUBSIST-ENCE EXPENSES

Subpart A—General Rules

Sec.302–5.1 What are ‘‘temporary quarters’’?302–5.2 What are ‘‘temporary quarters sub-

sistence expenses (TQSE)’’?302–5.3 What is the purpose of the TQSE al-

lowance?302–5.4 Am I eligible for a TQSE allowance?302–5.5 Who is not eligible for a TQSE allow-

ance?302–5.6 Must my agency authorize payment

of a TQSE allowance?302–5.7 Under what circumstances will I re-

ceive a TQSE allowance?302–5.8 Who may occupy temporary quarters

at Government expense?302–5.9 Where may I/we occupy temporary

quarters at Government expense?302–5.10 May my immediate family and I oc-

cupy temporary quarters at different lo-cations?

302–5.11 What methods may my agency useto reimburse me for TQSE?

302–5.12 Must I document my TQSE to re-ceive reimbursement?

302–5.13 How soon may I/we begin occupyingtemporary quarters at Government ex-pense?

302–5.14 How is my TQSE allowance affectedif my temporary quarters become mypermanent residence quarters?

302–5.15 May I receive an advance of fundsfor TQSE?

302–5.16 May I receive a TQSE allowance ifI am receiving another subsistence ex-penses allowance?

302–5.17 Am I eligible for a TQSE allowanceif I transfer to a foreign area?

302–5.18 May I be reimbursed for local trans-portation expenses incurred while I amoccupying temporary quarters?

Subpart B—Actual TQSE Method ofReimbursement

302–5.100 What am I paid under the actualTQSE reimbursement method?

302–5.101 May my agency reduce my TQSEallowance below the ‘‘maximum allow-able amount’’?

302–5.102 What is the ‘‘applicable per diemrate’’ under the actual TQSE reimburse-ment method?

302–5.103 What is the latest the period forwhich I claim actual TQSE reimburse-ment may begin?

302–5.104 How long may I be authorized toclaim actual TQSE reimbursement?

302–5.105 What is a ‘‘compelling reason’’warranting extension of my authorizedperiod for claiming actual TQSE reim-bursement?

302–5.106 May I interrupt occupancy of tem-porary quarters?

302–5.107 What effect do partial days of tem-porary quarters occupancy have on myauthorized period for claiming actualTQSE reimbursement?

302–5.108 When does my authorized periodfor claiming actual TQSE reimbursementend?

302–5.109 May the period for which I am au-thorized to claim actual TQSE reim-bursement for myself be different fromthat of my immediate family?

302–5.110 What effect do partial days haveon my actual TQSE reimbursement?

302–5.111 May I and/or my immediate familyoccupy temporary quarters longer thanthe period for which I am authorized toclaim actual TQSE reimbursement?

Subpart C—Fixed Amount Reimbursement

302–5.200 What am I paid under the fixedamount reimbursement method?

302–5.201 How do I determine the amount ofmy payment under the fixed amount re-imbursement method?

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Relocation Allowances § 302–5.8

302–5.202 Will I receive additional TQSE re-imbursement if my fixed amount is notadequate to cover my TQSE?

Subpart D—Agency Responsibilities

302–5.300 How should we administer theTQSE allowance?

302–5.301 What governing policies must weestablish for the TQSE allowance?

302–5.302 Under what circumstances may weauthorize the TQSE allowance?

302–5.303 What factors should we consider indetermining whether the TQSE allow-ance actually is necessary?

302–5.304 What factors should we consider indetermining whether to offer an em-ployee the fixed amount TQSE reim-bursement option?

302–5.305 What factors should we consider indetermining whether quarters are tem-porary?

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: FTR Amdt. 59, 62 FR 13756, Mar.21, 1997, unless otherwise noted.

Subpart A—General Rules

NOTE TO SUBPART A: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–5.1 What are ‘‘temporary quar-ters’’?

The term ‘‘temporary quarters’’ re-fers to lodging obtained for the purposeof temporary occupancy from a privateor commercial source.

§ 302–5.2 What are ‘‘temporary quar-ters subsistence expenses (TQSE)’’?

‘‘Temporary quarters subsistence ex-penses’’ or ‘‘TQSE’’ are subsistence ex-penses incurred by an employee and/orhis/her immediate family while occupy-ing temporary quarters. TQSE does notinclude local transportation expensesincurred during occupancy of tem-porary quarters (see § 302–5.18 for de-tails).

§ 302–5.3 What is the purpose of theTQSE allowance?

The TQSE allowance is intended toreimburse an employee reasonably andequitably for subsistence expenses in-curred when it is necessary to occupytemporary quarters.

§ 302–5.4 Am I eligible for a TQSE al-lowance?

You are eligible for a TQSE allow-ance if you are an employee who is au-thorized to transfer; and

(a) Your new official station is lo-cated within the United States, its ter-ritories or possessions, the Common-wealths of Puerto Rico or the NorthernMariana Islands, or the former CanalZone area (i.e., areas and installationsin the Republic of Panama made avail-able to the United States pursuant tothe Panama Canal Treaty of 1977 andrelated agreements (as described in 22U.S.C. 3602(a))); and

(b) Your old and new official stationsare 40 miles or more apart (as meas-ured by map distance) via a usuallytraveled surface route.

§ 302–5.5 Who is not eligible for aTQSE allowance?

New appointees, employees assignedunder the Government EmployeesTraining Act (5 U.S.C. 4109), and em-ployees returning from an overseas as-signment for the purpose of separationare not eligible for a TQSE allowance.

§ 302–5.6 Must my agency authorizepayment of a TQSE allowance?

No, your agency determines whetherit is in the Government’s interest topay TQSE.

§ 302–5.7 Under what circumstanceswill I receive a TQSE allowance?

You will receive a TQSE allowance if:(a) Your agency authorizes it before

you occupy the temporary quarters(the agency authorization must specifythe period of time allowed for you tooccupy temporary quarters); and

(b) You have signed a service agree-ment; and

(c) You meet any additional condi-tions your agency has established.

§ 302–5.8 Who may occupy temporaryquarters at Government expense?

Only you and/or your immediate fam-ily may occupy temporary quarters atGovernment expense.

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–5.9

§ 302–5.9 Where may I/we occupy tem-porary quarters at Government ex-pense?

You and/or your immediate familymay occupy temporary quarters atGovernment expense within reasonableproximity of your old and/or new offi-cial stations. Neither you nor your im-mediate family may be reimbursed foroccupying temporary quarters at anyother location, unless justified by spe-cial circumstances that are reasonablyrelated to your transfer.

§ 302–5.10 May my immediate familyand I occupy temporary quarters atdifferent locations?

Yes. For example, if you must vacateyour home at the old official stationand report to the new official stationand your family remains behind untilthe end of the school year, you mayneed to occupy temporary quarters atthe new official station while yourfamily occupies temporary quarters atthe old official station.

§ 302–5.11 What methods may my agen-cy use to reimburse me for TQSE?

Your agency will reimburse you forTQSE under the actual expense methodunless it permits the ‘‘fixed amount’’reimbursement method as an alter-native. If your agency makes bothmethods available to you, you may se-lect the one you prefer.

§ 302–5.12 Must I document my TQSEto receive reimbursement?

For fixed amount TQSE reimburse-ment, you do not document yourTQSE. For actual TQSE reimburse-ment, you must document your TQSEby itemizing each expense and provid-ing receipts as required by FTR § 301–11.3(c) of this subtitle.

§ 302–5.13 How soon may I/we beginoccupying temporary quarters atGovernment expense?

As soon as your agency has author-ized you to receive a TQSE allowanceand you have signed a service agree-ment.

§ 302–5.14 How is my TQSE allowanceaffected if my temporary quartersbecome my permanent residencequarters?

If your temporary quarters becomeyour permanent residence quarters,you may receive a TQSE allowanceonly if you show in a manner satisfac-tory to your agency that you initiallyintended to occupy the quarters tempo-rarily.

§ 302–5.15 May I receive an advance offunds for TQSE?

Yes. If authorized in accordance with§ 302–1.14(a) of this chapter, your agen-cy may advance the amount of fundsnecessary to cover your estimatedTQSE expenses for up to 30 days. Youragency subsequently may advance ad-ditional funds for periods up to 30 days.

§ 302–5.16 May I receive a TQSE allow-ance if I am receiving another sub-sistence expenses allowance?

No, with one exception. You may re-ceive a cost-of-living allowance pay-able under 5 U.S.C. 5941 in addition toa TQSE allowance.

§ 302–5.17 Am I eligible for a TQSE al-lowance if I transfer to a foreignarea?

No. You may not receive a TQSE al-lowance under this part when youtransfer to an area outside the UnitedStates, its territories or possessions,the Commonwealths of Puerto Rico orthe Northern Mariana Islands, or theformer Canal Zone area (i.e., areas andinstallations in the Republic of Pan-ama made available to the UnitedStates pursuant to the Panama CanalTreaty of 1977 and related agreements(as described in 22 U.S.C. 3602(a))). How-ever, you may qualify for a comparableallowance under the Standardized Reg-ulations (Government Civilians, For-eign Areas) prescribed by the State De-partment.

§ 302–5.18 May I be reimbursed forlocal transportation expenses in-curred while I am occupying tem-porary quarters?

Generally not. Local transportationexpenses are not TQSE, and there is no

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Relocation Allowances § 302–5.104

authority to pay them as such. Youmay, however, be reimbursed underpart 301–2 of this subtitle for necessarytransportation expenses if you performlocal official business travel while youare occupying temporary quarters.

Subpart B—Actual TQSE Method ofReimbursement

NOTE TO SUBPART B: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–5.100 What am I paid under theactual TQSE reimbursement meth-od?

Your agency will pay your actualTQSE incurred, provided the expensesare reasonable and do not exceed themaximum allowable amount. The‘‘maximum allowable amount’’ is the‘‘maximum daily amount’’ multipliedby the number of days you actuallyincur TQSE not to exceed the numberof days authorized, taking into accountthat the rates change after 30 days intemporary quarters. The ‘‘maximumdaily amount’’ is determined by addingthe rates in the following table for youand each member of your immediatefamily authorized to occupy temporaryquarters:

For

The ‘‘maximum daily amount’’ of TQSE under the actual expense method that

You and/or your unaccom-panied spouse* may receive

is

Your accompanied spouse ora member of your immediatefamily who is age 12 or older

may receive is

A member of your immediatefamily who is under age 12

may receive is

The first 30 days of temporaryquarters.

The applicable per diem rate .75 times the applicable perdiem rate.

.5 times the applicable perdiem rate.

Any additional days of tem-porary quarters.

.75 times the applicable perdiem rate.

.5 times the applicable perdiem rate.

.4 times the applicable perdiem rate.

(That is, when the spouse necessarily occupies temporary quarters in lieu of the employee or in a location separate from theemployee.)

§ 302–5.101 May my agency reduce myTQSE allowance below the ‘‘maxi-mum allowable amount’’?

Yes. If the estimated daily amount ofyour TQSE is determined in advance tobe lower than the maximum dailyamount, your agency may reduce the

maximum allowable amount to yourexpected expenses.

§ 302–5.102 What is the ‘‘applicable perdiem rate’’ under the actual TQSEreimbursement method?

The ‘‘applicable per diem rate’’ underthe actual TQSE reimbursement meth-od is as follows:

For temporary quarters located in The applicable per diem rate is

The continental United States (CONUS) ........................................................................................ The standard CONUS rate.Alaska, Hawaii, the United States territories or possessions, the Commonwealths of Puerto

Rico or the Northern Mariana Islands, or the former Canal Zone area (i.e., areas and instal-lations in the Republic of Panama made available to the United States pursuant to the Pan-ama Canal Treaty of 1977 and related agreements (as described in section 3(a) of the Pan-ama Canal Act of 1979)).

The locality rate established bythe Secretary of Defense orthe Secretary of State under§ 301–7.3 of this subtitle.

§ 302–5.103 What is the latest the pe-riod for which I claim actual TQSEreimbursement may begin?

The period must begin before themaximum time for beginning allowabletravel and transportation under § 302–1.6 of this chapter expires.

§ 302–5.104 How long may I be author-ized to claim actual TQSE reim-bursement?

Your agency may authorize you toclaim actual TQSE in 30-day incre-ments, not to exceed 60 consecutivedays. However, if your agency deter-mines that there is a compelling reason

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–5.105

for you to continue occupying tem-porary quarters after 60 consecutivedays, it may authorize an extension ofup to 60 additional consecutive days.Under no circumstances may you beauthorized to claim actual TQSE reim-bursement for more than a total of 120consecutive days.

§ 302–5.105 What is a ‘‘compelling rea-son’’ warranting extension of myauthorized period for claiming ac-tual TQSE reimbursement?

A ‘‘compelling reason’’ is an eventthat is beyond your control and is ac-ceptable to your agency. Examples in-clude, but are not limited to:

(a) Delivery of your household goodsto your new residence is delayed due tostrikes, customs clearance, hazardousweather, fires, floods or other acts ofGod, or similar events.

(b) You cannot occupy your new per-manent residence because of unantici-pated problems (e.g., delay in settle-ment on the new residence, or short-term delay in construction of the resi-dence).

(c) You are unable to locate a perma-nent residence which is adequate foryour family’s needs because of housingconditions at your new official station.

(d) Sudden illness, injury, or death ofemployee or immediate family mem-ber.

§ 302–5.106 May I interrupt occupancyof temporary quarters?

Yes. Your authorized period forclaiming actual TQSE reimbursementis measured in consecutive days, andonce begun, normally continues to runwhether or not you occupy temporaryquarters. You may, however, interruptyour authorized period for claiming ac-tual TQSE reimbursement in the fol-lowing instances:

(a) For the time allowed for en routetravel between the old and new officialstations;

(b) For circumstances attributable toofficial necessity such as an interven-ing temporary duty assignment ormilitary duty; or

(c) For a non-official necessary inter-ruption such as hospitalization, ap-proved sick leave, or other reason be-yond your control and acceptable toyour agency.

§ 302–5.107 What effect do partial daysof temporary quarters occupancyhave on my authorized period forclaiming actual TQSE reimburse-ment?

Occupancy of temporary quarters forless than a whole day constitutes onefull day of your authorized period.(However, see § 302–5.110 regarding enroute travel.)

§ 302–5.108 When does my authorizedperiod for claiming actual TQSE re-imbursement end?

The period ends at midnight on theearlier of:

(a) The day preceding the day youand/or any member of your immediatefamily occupies permanent residencequarters.

(b) The day your authorized periodfor claiming actual TQSE reimburse-ment expires.

§ 302–5.109 May the period for which Iam authorized to claim actualTQSE reimbursement for myself bedifferent from that of my immediatefamily?

No, the eligibility period for whichyou are authorized to claim actualTQSE reimbursement for yourself andfor each member of your immediatefamily must run concurrently.

§ 302–5.110 What effect do partial dayshave on my actual TQSE reimburse-ment?

You may not receive reimbursementunder both the actual TQSE allowanceand another subsistence expenses al-lowance within the same calendar day,with one exception: if you claim TQSEreimbursement on the same day thaten route travel per diem ends, your enroute travel per diem will be computedunder applicable partial day rules andyou also may be reimbursed for actualTQSE you incur after 6:00 p.m. of thatday.

§ 302–5.111 May I and/or my immediatefamily occupy temporary quarterslonger than the period for which Iam authorized to claim actualTQSE reimbursement?

Yes, but you will not be reimbursedfor any of the expenses you incur dur-ing the unauthorized period.

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Relocation Allowances § 302–5.303

Subpart C—Fixed AmountReimbursement

NOTE TO SUBPART C: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–5.200 What am I paid under thefixed amount reimbursement meth-od?

If your agency offers and you selectthe fixed amount TQSE reimbursementmethod, you are paid a fixed amountfor up to 30 days. No extensions are al-lowed under the fixed amount method.

§ 302–5.201 How do I determine theamount of my payment under thefixed amount reimbursement meth-od?

Multiply the number of days youragency authorizes TQSE by .75 timesthe maximum per diem rate (i.e., lodg-ing plus meals and incidental expenses)prescribed in chapter 301 of this sub-title for the locality of the new officialduty station. Then, for each member ofyour immediate family, multiply thesame number of days by .25 times thesame per diem rate. Your payment willbe the sum of these calculations.

§ 302–5.202 Will I receive additionalTQSE reimbursement if my fixedamount is not adequate to cover myTQSE?

No.

Subpart D—AgencyResponsibilities

NOTE TO SUBPART D: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–5.300 How should we administerthe TQSE allowance?

Temporary quarters should be usedonly if, and only for as long as, nec-essary until the employee and/or his/her immediate family can move intopermanent residence quarters. Youmust administer the TQSE allowanceto minimize or avoid other relocationexpenses.

§ 302–5.301 What governing policiesmust we establish for the TQSE al-lowance?

You must establish policies and pro-cedures governing:

(a) When you will authorize tem-porary quarters for employees;

(b) Who will determine if temporaryquarters is appropriate in each situa-tion;

(c) If and when you will authorize thefixed amount option for TQSE reim-bursement;

(d) Who will determine the appro-priate period of time for which TQSEreimbursement will be authorized, in-cluding approval of extensions andinterruptions of temporary quartersoccupancy;

(e) Who will determine whether quar-ters were indeed temporary, if there isany doubt.

§ 302–5.302 Under what circumstancesmay we authorize the TQSE allow-ance?

You may authorize a TQSE allow-ance on an individual-case basis whenuse of temporary quarters is justifiedin connection with an employee’stransfer to a new official station. Youmay not authorize a TQSE allowancefor vacation purposes or other reasonsunrelated to the transfer.

§ 302–5.303 What factors should weconsider in determining whetherthe TQSE allowance actually is nec-essary?

The factors you should consider in-clude:

(a) The length of time the employeeshould reasonably be expected to occupyhis/her residence at the old official stationprior to reporting for duty at the new offi-cial station. An employee and his/herimmediate family should continue tooccupy the residence at the old officialstation for as long as practicable toavoid the necessity for temporaryquarters.

(b) The existence of less expensive alter-natives. If a less expensive alternativeto the TQSE allowance exists that willenable the employee to find permanentquarters at the new official station,you should consider such an alter-native. For example, authorize a

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househunting trip instead of temporaryquarters if it would cost less overall.

(c) The existence of other opportunitiesto arrange for permanent quarters. Con-sider whether the employee had otheradequate opportunity to arrange forpermanent quarters. For example, youshould not authorize temporary quar-ters if the employee had adequate op-portunity during an extended tem-porary duty assignment to arrange forpermanent quarters.

§ 302–5.304 What factors should weconsider in determining whether tooffer an employee the fixed amountTQSE reimbursement option?

The factors you should consider in-clude:

(a) Ease of administration. ActualTQSE reimbursement requires an agen-cy to review claims for the validity, ac-curacy, and reasonableness of each ex-pense amount. Fixed amount TQSE re-imbursement does not require review ofexpense amounts and is therefore easi-er to administer.

(b) Cost considerations. You mustweigh the cost of each alternative. Ac-tual TQSE reimbursement may extendup to 120 consecutive days, while fixedamount TQSE reimbursement is lim-ited to 30 days. Actual TQSE reim-bursement may be less expensive, sinceits ceiling is based on the standardCONUS rate, while fixed amount TQSEreimbursement is based on the localityper diem rate. However, fixed amountTQSE reimbursement may be less ex-pensive because the maximum dailyrate under actual TQSE reimbursementis a higher percentage of the applicableper diem rate than fixed amount TQSEreimbursement.

(c) Treatment of employee. The em-ployee is allowed to choose between ac-tual TQSE reimbursement and fixedamount TQSE reimbursement whenyou offer the fixed amount TQSE reim-bursement method. You thereforeshould weigh employee morale and pro-ductivity considerations against actualcost considerations in determiningwhich method to offer.

§ 302–5.305 What factors should weconsider in determining whetherquarters are temporary?

In determining whether quarters are‘‘temporary’’, you should consider fac-

tors such as the duration of the lease,movement of household effects into thequarters, the type of quarters, the em-ployee’s expressions of intent, at-tempts to secure a permanent dwelling,and the length of time the employeeoccupies the quarters.

PART 302–6—ALLOWANCE FOR EX-PENSES INCURRED IN CONNEC-TION WITH RESIDENCE TRANS-ACTIONS

Sec.302–6.1 Conditions and requirements under

which allowances are payable.302–6.2 Reimbursable and nonreimbursable

expenses.302–6.3 Procedural and control require-

ments.302–6.4 Exclusions.302–6.5 Advance of funds.

AUTHORITY: 5 U.S.C. 5738 and 20 U.S.C.905(c).

SOURCE: 54 FR 20321, May 10, 1989, unlessotherwise noted.

§ 302–6.1 Conditions and requirementsunder which allowances are pay-able.

To the extent allowable under thispart, the Government shall reimbursean employee for expenses required tobe paid by him/her in connection withthe sale of one residence at his/her oldofficial station, for purchase (includingconstruction) of one dwelling at his/hernew official station, or for the settle-ment of an unexpired lease involvinghis/her residence or a lot on which amobile home used as his/her residencewas located at the old official stationprovided the conditions set forth inthis section are met:

(a) Transfers covered—agreement re-quired. A permanent change of stationis authorized or approved and, exceptas provided in paragraph (g) of this sec-tion, the old and new official stationsare located within the 50 States, theDistrict of Columbia, the Common-wealth of Puerto Rico or the Common-wealth of the Northern Mariana Is-lands, a United States territory or pos-session, or the former Canal Zone area(i.e., areas and installations in the Re-public of Panama made available tothe United States under the Panama

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Canal Treaty of 1977 and related agree-ments (as described in section 3(a) ofthe Panama Canal Act of 1979)), andthe employee has signed an agreementas required in § 302–1.5. (See exclusionsin § 302–6.4.)

(b) Location and type of residence. Theresidence or dwelling is the residenceas described in § 302–1.4(k), which maybe a mobile home and/or the lot onwhich such mobile home is located orwill be located. These criteria alsoapply to the former nonforeign area of-ficial station residence of employeeswho are eligible for residence trans-action expenses under paragraph (g) ofthis section (see definition in para-graph (g)(1)(i) of this section).

(c) Title requirements. The title to theresidence or dwelling at the old or newofficial station, or the interest in a co-operatively owned dwelling or in an un-expired lease, is in the name of the em-ployee alone, or in the joint names ofthe employee and one or more mem-bers of his/her immediate family, orsolely in the name of one or moremembers of his/her immediate family.The rules in paragraphs (c) (1) through(3) of this section apply in determiningtitle to the residence.

(1) Title interest must have been ac-quired prior to notification of transfer.For an employee to be eligible for re-imbursement of the costs of selling adwelling or terminating a lease at theold official station, the employee’sproperty interest must have been ac-quired prior to the date the employeewas first officially notified of his/hertransfer to the new official station. Inthe case of an employee covered byparagraph (g) of this section, the em-ployee’s interest must have been ac-quired prior to the date the employeewas first officially notified of his/hertransfer to the foreign area.

(2) Legal title interest. Except as pro-vided in paragraph (c)(3) of this sec-tion, title to the residence is deter-mined by the name of the party (orparties) on the title document (e.g., thedeed).

(3) Equitable title interest. The em-ployee, and/or a member(s) of his/herimmediate family, in a situation listedin paragraphs (c)(3) (i) through (v) ofthis section is deemed to have title tothe residence without regard to wheth-

er his/her name appears on the titledocument.

(i) Title held in trust. The property isheld in trust and the conditions inparagraphs (c)(3)(i) (A) through (F) ofthis section apply.

(A) The property must be the em-ployee’s residence as described in para-graph (b) of this section.

(B) The employee and/or a member(s)of the immediate family must be theonly beneficiary(ies) of the trust dur-ing his/her lifetime.

(C) The employee and/or a member(s)of the immediate family must retainthe right to distribute the propertyduring his/her lifetime.

(D) The employee and/or a member(s)of the immediate family must retainthe right to manage the property.

(E) The employee and/or a member(s)of the immediate family must be theonly grantor/settlor of the trust, ormust retain the right to direct dis-tribution of the property upon dissolu-tion of the trust or death.

(F) The employee provides the agen-cy with a copy of the trust document.

(ii) Title held by financial institution.The title is held in the name of a finan-cial institution and the conditions inparagraphs (c)(3)(ii) (A) through (D) ofthis section apply.

(A) The property is the employee’sresidence as described in paragraph (b)of this section.

(B) The employee and/or a member(s)of the immediate family executed a fi-nancing agreement (e.g., mortgage)with the financial institution.

(C) State or local law requires thatlending parties take title to perfect(i.e., protect) a security interest in theproperty, or the financial institutionrequires that it take possession of titleas a condition of the financing agree-ment.

(D) The employee must provide theagency with a copy of the financingdocument. The agency may requirethat the employee also provide proof ofstate or local laws governing securedcredit.

(iii) Title includes an accommodationparty or parties. The title is held both inthe names of: the employee singularly,or the employee and one or more mem-bers of his/her immediate family joint-ly, or one or more members of his/her

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immediate family; and an individual(accommodation party) who is not animmediate family member. In addition,the conditions in paragraphs (c)(3)(iii)(A) through (G) of this section apply.(An accommodation party is an indi-vidual who signs an employee’s financ-ing agreement (e.g., a mortgage) tolend his/her name (i.e., credit) to thearrangement.)

(A) The property is the employee’sresidence as described in paragraph (b)of this section.

(B) The employee and/or a member(s)of the immediate family has right touse the property and to direct convey-ance of the property.

(C) The lender requires signature ofthe accommodation party on the fi-nancing document.

(D) The employee and/or a member ofthe immediate family, is liable for pay-ments under the financing arrange-ment (e.g., mortgage).

(E) The accommodation party’s nameis on the title.

(F) The accommodation party doesnot have a financial interest in theproperty unless the employee and/or amember(s) of the immediate family de-faults on the financing arrangement.

(G) The employee provides the agen-cy with acceptable documentation ofthe accommodation. Agencies shallissue policy defining acceptable docu-mentation of the accommodation. Suchdocumentation may include a copy ofthe financing document and/or a writ-ten statement from the employee cer-tifying that the conditions in para-graphs (c)(3)(iii) (A) through (G) of thissection apply. Such documentationalso may include a written statementfrom the accommodation party certify-ing that he/she does not have a finan-cial interest in the property.

(iv) Title held by seller of the property.The title is held in the name of theseller of the property and the condi-tions in paragraphs (c)(3)(iv) (A)through (D) of this section apply.

(A) The property is the employee’sresidence as described in paragraph (b)of this section.

(B) The employee and/or a member(s)of the immediate family has right touse the property and to direct convey-ance of the property.

(C) The employee and/or a member(s)of the immediate family must havesigned a financing agreement with theseller of the property (e.g., a land con-tract) providing for fixed periodic pay-ments and transfer of title to the em-ployee and/or a member(s) of the imme-diate family upon completion of thepayment schedule.

(D) The employee must provide theagency with a copy of the financingagreement.

(v) Other equitable title situations. Thetitle is held both in the names of: theemployee singularly, or the employeeand one or more members of his/her im-mediate family jointly, or one or moremembers of his/her immediate family;and an individual who is not an imme-diate family member. In addition, theconditions in paragraphs (c)(3)(v) (A)through (E) of this section apply.

(A) The property is the employee’sresidence as described in paragraph (b)of this section.

(B) The employee and/or a member(s)of the immediate family has right touse the property and to direct convey-ance of the property.

(C) Only the employee and/or a mem-ber(s) of the immediate family hasmade payments on the property.

(D) The employee and/or a member(s)of the immediate family received allproceeds from the sale of the property.

(E) The employee must provide suit-able documentation to the agency thatthe conditions listed in paragraphs(c)(3)(v) (A) through (D) of this sectionhave been met. Agencies shall issuepolicy defining acceptable documenta-tion. Such documentation must includefinancial documents proving that onlythe employee and/or a member(s) of theimmediate family made payments onthe property, and financial documentsproving that the employee and/or amember(s) of the immediate family re-ceived all proceeds from the sale of theproperty.

(d) Occupancy requirements. Thedwelling for which reimbursement ofselling expenses is claimed was, exceptas provided in paragraph (g) of this sec-tion, the employee’s residence at thetime he/she was first officially notifiedby competent authority of his/hertransfer to the new official station.

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(e) Time limitation—(1) Initial period.The settlement dates for the sale andpurchase or lease termination trans-actions for which reimbursement is re-quested are not later than 2 years afterthe date that the employee reported forduty at the new official station. Foremployees eligible under paragraph (g)of this section, new official stationmeans the official station to which theemployee reports for duty when reas-signed or transferred from a foreignarea.

(2) Extension of time limitation. (i)Upon an employee’s written request,the 2-year time limitation for comple-tion of the sale and purchase or leasetermination transactions may be ex-tended by the head of the agency orhis/her designee for an additional pe-riod of time not to exceed 1 year.

(ii) The employee’s written requestshould be submitted to the appropriateagency official(s) as soon as the em-ployee becomes aware of the need foran extension but before expiration ofthe 2-year limitation; however, in nocase shall the request be submittedlater than 30 calendar days after theexpiration date unless this 30-day pe-riod is specifically extended by theagency.

(iii) Approval of this additional pe-riod of time shall be based on a deter-mination that extenuating cir-cumstances, acceptable to the agencyconcerned, have prevented the em-ployee from completing the sale andpurchase or lease termination trans-actions in the initial timeframe andthat the residence transactions are rea-sonably related to the transfer of offi-cial station.

(iv) When an employee is eligible foran extension of the time limitationsfor completion of a residence trans-action and such an extension is ap-proved by an agency, relocation enti-tlements and allowances shall be deter-mined by using the entitlements andallowances prescribed by regulations ineffect on the employee’s effective dateof transfer and not the entitlementsand allowances in effect at the timethe extension of the time limitation isapproved. (See § 302–1.3(d).)

(f) Reimbursement of expenses. Therules in paragraphs (f) (1) and (2) of thissection govern the reimbursement of

employee residence transaction ex-penses.

(1) Employee must actually incur theexpenses. An employee shall be reim-bursed only for expenses actually in-curred and paid by the employee or amember of the employee’s immediatefamily. If any expenses were shared bypersons other than the employee or amember of his/her immediate family,reimbursement is limited to the por-tion actually paid by the employee and/or a member of his/her immediate fam-ily.

(2) Pro rata reimbursement. When thetitle possessed by an employee and/or amember(s) of his/her immediate familyis not full title to the residence, orwhen an employee is deemed to have atitle interest under paragraph (c)(3) ofthis section, the employee shall be re-imbursed on a pro rata basis to the ex-tent of his/her actual title interest plushis/her deemed title interest in the res-idence. Additionally, an employee shallbe reimbursed on a pro rata basis inthe situations listed in paragraphs(f)(2) (i) and (ii) of this section.

(i) Multiple occupancy dwelling. If theresidence is a duplex or another type ofmultiple occupancy dwelling which isoccupied only partially by the em-ployee, or whenever the employeeshares responsibility for a leased prop-erty (e.g., a shared apartment arrange-ment), expenses shall be reimbursed ona pro rata basis.

(ii) Excess land. The employee shallbe limited to pro rata reimbursementwhen he/she sells or purchases land inexcess of that which reasonably relatesto the residence site.

(g) Transfer from a foreign area to anonforeign area—(1) Definitions. Forpurposes of this paragraph, the follow-ing definitions apply:

(i) Former nonforeign area official sta-tion. This term means the official sta-tion from which the employee wastransferred when assigned to the postof duty in the foreign area.

(ii) Nonforeign area. Nonforeign areaincludes the United States, its terri-tories or possessions, the Common-wealth of Puerto Rico, the Common-wealth of the Northern Mariana Is-lands, or the former Canal Zone area(i.e., areas and installations in the Re-public of Panama made available to

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the United States pursuant to the Pan-ama Canal Treaty of 1977 and relatedagreements (as described in section 3(a)of the Panama Canal Act of 1979)).

(iii) Foreign area. Foreign area refersto any area not defined as a nonforeignarea.

(2) Applicability. The provisions ofthis part are applicable, as specified inthis paragraph, to employees who havecompleted an agreed upon tour of dutyin a foreign area and instead of beingreturned to the former nonforeign areaofficial station, are reassigned ortransferred in the interest of the Gov-ernment to a different nonforeign areaofficial station than the official stationfrom which the employee was trans-ferred when assigned to the foreignpost of duty. The distance between theformer and new official stations mustmeet the mileage criteria specified in§ 302–1.7 for short distance transfers.

(3) Authorized reimbursement. Gen-erally, an employee is required to serveat least one tour of duty in a foreignarea and retain a residence in a nonfor-eign area with the expectation of re-turning to the former official stationin the nonforeign area. However, thereare instances when an employee com-pletes a tour of duty in a foreign areaand is subsequently transferred to adifferent official station or post of dutyin a nonforeign area than the one fromwhich he/she transferred when assignedto the foreign post of duty. When thistype of transfer is authorized or ap-proved, reimbursement is allowable forreal estate expenses required to be paidby the employee in connection with:

(i) The sale of the residence (or thesettlement of an unexpired lease) atthe official station from which the em-ployee was transferred when he/she wasassigned to a post of duty located in aforeign area; and

(ii) The purchase of a residence at thenew official station when the employeeis transferred in the interest of theGovernment from a post of duty lo-cated in a foreign area to a nonforeignarea official station (other than the of-ficial station from which he/she wastransferred when assigned to the for-eign post of duty).

(4) Reimbursement limitations. Reim-bursement under this paragraph is pro-hibited for any sale (or settlement of

an unexpired lease) or purchase trans-action that occurs prior to the employ-ee’s first being officially notified (gen-erally in the form of a change of offi-cial station travel authorization) thatinstead of returning to the former non-foreign area official station, he/she willbe reassigned or transferred to a dif-ferent nonforeign area official stationthan the one from which he/she wastransferred when assigned to the for-eign post of duty.

(5) Service agreement required. Asigned service agreement shall be re-quired as prescribed in § 302–1.5 for anyemployee who is eligible for reimburse-ment of residence transaction expensesauthorized under this paragraph.

[54 FR 20321, May 10, 1989, as amended byFTR Amdt. 2, 54 FR 37811, Sept. 13, 1989; 54FR 43521, Oct. 25, 1989; FTR Amdt. 10, 55 FR41538, Oct. 12, 1990; FTR Amdt. 17, 56 FR23658, May 23, 1991; 56 FR 29439, June 27, 1991;FTR Amdt. 26, 57 FR 28635, June 26, 1992;FTR Amdt. 37, 59 FR 27489, May 27, 1994; FTRAmdt. 62, 62 FR 13765, Mar. 21, 1997]

§ 302–6.2 Reimbursable and non-reimbursable expenses.

(a) Brokers’ fees and real estate commis-sions. A broker’s fee or real estate com-mission paid by the employee for serv-ices in selling his/her residence is reim-bursable but not in excess of rates gen-erally charged for such services by thebroker or by brokers in the locality ofthe old official station. No such fee orcommission is reimbursable in connec-tion with the purchase of a home at thenew official station.

(b) Other advertising, selling, and ap-praisal expenses. Costs of newspaper,bulletin board, multiple-listing serv-ices, and other advertising for sale ofthe residence at the old official stationare reimbursable if the employee hasnot paid for such services in the formof a broker’s fee or real estate agent’scommission. The customary cost of anappraisal also may be reimbursed.

(c) Legal and related expenses. To theextent such costs have not been in-cluded in brokers’ or similar servicesfor which reimbursement is claimedunder other categories, the followingexpenses are reimbursable with respectto the sale and purchase of residencesif they are customarily paid by theseller of a residence at the old officialstation or if customarily paid by the

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purchaser of a residence at the new of-ficial station, to the extent they do notexceed amounts customarily charged inthe locality of the residence: costs of(1) searching title, preparing abstract,and legal fees for a title opinion, or (2)where customarily furnished by theseller, the cost of a title insurance pol-icy; costs of preparing conveyances,other instruments, and contracts andrelated notary fees and recording fees;costs of making surveys, preparingdrawings or plats when required forlegal or financing purposes; and similarexpenses. Costs of litigation are not re-imbursable.

(d) Miscellaneous expenses—(1) Reim-bursable items. The following expensesare reimbursable in connection withthe sale and/or purchase of a residence,provided they are customarily paid bythe seller of a residence in the localityof the old official station or by the pur-chaser of a residence at the new officialstation, to the extent they do not ex-ceed specifically stated limitations, orin the absence thereof, amounts cus-tomarily paid in the locality of the res-idence:

(i) FHA or VA fee for the loan appli-cation.

(ii) Loan origination fees and similarcharges such as loan assumption feesand loan transfer fees. A loan origina-tion fee is a fee paid by the borrower tocompensate the lender for administra-tive type expenses incurred in originat-ing and processing a loan. Reimburse-ment for a loan assumption fee or aloan transfer fee or a similar chargealso may be allowed, if it is assessed inlieu of a loan origination fee and re-flects charges for services similar tothose covered by a loan origination fee.An employee may be reimbursed forthese fees in an amount not in excessof 1 percent of the loan amount with-out itemization of the lender’s admin-istrative charges. Reimbursement mayexceed 1 percent only if the employeeshows by clear and convincing evidencethat:

(A) The higher rate does not includeprepaid interest, points, or a mortgagediscount; and

(B) The higher rate is customarilycharged in the locality where the resi-dence is located.

(iii) Cost of preparing credit reports.

(iv) Mortgage and transfer taxes.(v) State revenue stamps.(vi) Other fees and charges similar in

nature to those listed in paragraphs(d)(1)(i) through (v) of this section, un-less specifically prohibited in para-graph (d)(2) of this section.

(vii) Charge for prepayment of amortgage or other security instrumentin connection with the sale of a resi-dence at the old official station to theextent the terms in the mortgage orother security instrument provide forthis charge. This prepayment penaltyis also reimbursable when the mort-gage or other security instrument doesnot specifically provide for prepay-ment, provided this penalty is cus-tomarily charged by the lender, but inthat case the reimbursement may notexceed 3 months’ interest on the loanbalance.

(viii) Mortgage title insurance pol-icy, paid for by the employee, on a resi-dence purchased by the employee forthe protection of, and required by, thelender.

(ix) Owner’s title insurance policy,provided it is a prerequisite to financ-ing or the transfer of the property; or ifthe cost of the owner’s title insurancepolicy is inseparable from the cost ofother insurance which is a prerequisiteto financing or the transfer of the prop-erty.

(x) Expenses in connection with con-struction of a residence, which arecomparable to expenses that are reim-bursable in connection with the pur-chase of an existing residence.

(xi) Expenses in connection with en-vironmental testing and property in-spection fees when required by Federal,State, or local law; or by the lender asa precondition to sale or purchase.

(2) Nonreimbursable items. Except asotherwise provided in paragraph (d)(1)of this section, the following items ofexpense are not reimbursable:

(i) Owner’s title insurance policy,‘‘record title’’ insurance policy, mort-gage insurance or insurance againstloss or damage of property, and op-tional insurance paid for by the em-ployee in connection with the purchaseof a residence for the protection of theemployee;

(ii) Interest on loans, points, andmortgage discounts;

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(iii) Property taxes;(iv) Operating or maintenance costs;(v) No fee, cost, charge, or expense

determined to be part of the financecharge under the Truth in Lending Act,title I, Pub. L. 90–321, as amended, andRegulation Z issued by the Board ofGovernors of the Federal Reserve Sys-tem (12 CFR part 226), unless specifi-cally authorized in paragraph (d)(1) ofthis section; and

(vi) Expenses that result from con-struction of a residence.

(e) Losses due to prices or market condi-tions at the old and new posts of duty.Losses are not reimbursable when theyare incurred by an employee:

(1) Due to failure to sell a residenceat the old official station at the priceasked, or at its current appraisedvalue, or at its original cost;

(2) Due to failure to buy a dwelling atthe new official station at a price com-parable to the selling price of the resi-dence at the old official station; or

(3) Any similar losses.(f) Other expenses of sale and purchase

of residences. Incidental charges madefor required services in selling and pur-chasing residences may be reimburs-able if they are customarily paid bythe seller of a residence at the old offi-cial station or if customarily paid bythe purchaser of a residence at the newofficial station, to the extent they donot exceed amounts customarilycharged in the locality of the resi-dence.

(g) Overall limitations—(1) Sale of theresidence at the old official station. Thetotal amount of expenses that an agen-cy may reimburse in connection withthe sale of the residence at the old offi-cial station shall not exceed 10 percentof the actual sales price of the resi-dence.

(2) Purchase of a residence at the newofficial station. The total amount of ex-penses that an agency may reimbursein connection with the purchase of aresidence at the new official stationshall not exceed 5 percent of the actualpurchase price of the residence.

(h) Settlement of an unexpired lease.Expenses incurred for settling an unex-pired lease (including month-to-monthrental) for residence quarters occupiedby the employee at the old official sta-tion may include broker’s fees for ob-

taining a sublease or charges for adver-tising an unexpired lease. Such ex-penses are reimbursable when (1) appli-cable laws or the terms of the leaseprovide for payment of settlement ex-penses, (2) such expenses cannot beavoided by sublease or other arrange-ment, (3) the employee has not contrib-uted to the expense by failing to giveappropriate lease termination noticepromptly after he/she has definiteknowledge of the transfer, and (4) thebroker’s fees or advertising charges arenot in excess of those customarilycharged for comparable services in thatlocality. Itemization of these expensesis required and the total amount shallbe entered on an appropriate travelvoucher. This voucher may be submit-ted separately or with a claim that isto be made for expenses incident to thepurchase of a dwelling. Each item mustbe supported by documentation show-ing that the expense was in fact in-curred and paid by the employee.

[54 FR 20321, May 10, 1989, as amended byFTR Amdt. 21, 56 FR 51177, Oct. 10, 1991; FTRAmdt. 27, 57 FR 45001, Sept. 30, 1992; FTRAmdt. 31, 58 FR 53137, Oct. 14, 1993; FTRAmdt. 40, 59 FR 46357, Sept. 8, 1994; FTRAmdt. 44, 60 FR 49348, Sept. 25, 1995; FTRAmdt. 59, 62 FR 13756, Mar. 21, 1997; 62 FR26375, May 13, 1997]

§ 302–6.3 Procedural and control re-quirements.

(a) Application for reimbursement anddocumentation of expenses. Employeesshall be furnished appropriate formsfor claiming reimbursement for ex-penses of real estate transactions.Agencies shall prescribe a claim appli-cation form which meets internal ad-ministrative requirements. The formshould include the most commonly in-curred items of expense for which reim-bursement may be claimed and anynecessary administrative approvalblocks. Amounts claimed must be sup-ported by documentation showing thatthe expense was in fact incurred andpaid by the employee. Included in therequired supporting documents (as ap-propriate) are copies of (1) the salesagreement, (2) the purchase agreement,(3) property settlement documents, (4)loan closing statements, and (5) in-voices or receipts for other bills paid.An appropriate voucher shall be pre-pared by the employee and used in

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transmitting the claim applicationwith supporting attachments. Reim-bursement may be in two parts; i.e., apayment for expenses incurred in thesale of the former residence and a pay-ment for expenses incurred in the pur-chase of a new dwelling.

(b) Review and administrative approvalof sale and purchase expenses. Applica-tions shall be reviewed by a responsibleofficial of the agency. The applicationfor reimbursement of expenses for thesale of a residence shall be sent to theclaimant’s old official station for re-view and approval of the claim unlessagency review and approval functionsare performed elsewhere. In case oftransfer between agencies, review andapproval of the application shall bemade, if appropriate, at an installationof the hiring agency in the locality ofthe employee’s old official station, butif the hiring agency has no appropriateinstallation, it shall be sent to the los-ing agency at the old official stationfor review and approval. This reviewand approval are intended to be limitedto determining whether the expensesclaimed are reasonable in amount andcustomarily paid by the seller in thelocality where the property is located.If items of cost appear to have been in-flated or are higher than normally im-posed for similar services in the local-ity, any portion of such costs deter-mined to be excessive shall be dis-allowed. When approved, the applica-tion shall be returned with such memo-randum of explanation as may be ap-propriate. A similar review and ap-proval are required in connection withan application for reimbursement ofthe expenses of the purchase of a newdwelling. Final administrative ap-proval of payment of the claim must beexecuted by an appropriate approvingofficial. Such official may accept asconclusive the required prior approvalscovering reasonableness and custom;he/she shall, however, in accordancewith the provisions of this part, inde-pendently determine whether (1) theaggregate amount of expenses claimedin connection with a sale or purchaseof a residence is within the prescribedlimitation for either, (2) all conditionsand requirements under which allow-ances may be paid have been met, and(3) the expenses themselves are those

which are reimbursable. The employ-ee’s claim accompanied by the applica-tion and supporting documents shall becompleted and submitted in accordancewith the usual procedures of the agen-cy concerned.

(c) Assistance provided by local officesof the Department of Housing and UrbanDevelopment. Technical assistance indetermining the reasonableness of anexpense may be obtained from the localor area office of the Department ofHousing and Urban Development (HUD)serving the area in which the expenseoccurred. The local office maintainsand can furnish upon request a currentForm HUD–92496, Schedule of ClosingCosts, applicable to the area. This is aschedule of closing costs typically en-countered in connection with the pur-chase and sale of single family prop-erties in the locality. For the purposeof determining whether the expensesclaimed are reasonable and may be ap-proved for reimbursement, these clos-ing costs should be used as guidelinesand not as rigid limitations. The localoffice will also furnish upon request in-formation concerning local custom andpractices with respect to charging ofclosing costs related to either a sale orpurchase, including information as towhether such costs are customarilypaid by the seller or purchaser and thelocal terminology used to describethem. Area or insuring offices of HUDare located in all major cities. Themailing addresses for these offices areincluded in the U.S. Government Man-ual, published annually by the Office ofthe Federal Register, National Ar-chives and Records Administration. Adirectory containing the addresses ofall such offices (HUD Form 788) isavailable at any HUD office.

(d) Violation of employment agreement.In the event the employee violates theterms of the agreement required under§ 302–1.5, no expenses will be paid, andany amounts paid prior to such viola-tion shall be a debt due the UnitedStates until they are paid by the em-ployee.

[54 FR 20321, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–6.4 Exclusions.The provisions of this part do not

apply to new appointees, or employees

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assigned under the Government Em-ployees Training Act (5 U.S.C. 4109).

[54 FR 20321, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

§ 302–6.5 Advance of funds.No advance of funds is authorized in

connection with the allowances pro-vided in this part.

[54 FR 20321, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28635, June 26, 1992]

PART 302–7—TRANSPORTATION OFMOBILE HOMES

Sec.302–7.1 Eligibility and limitations.302–7.2 Computation of distances.302–7.3 Computation of allowances.302–7.4 Limitation on allowances.302–7.5 Advance of funds.

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20323, May 10, 1989, unlessotherwise noted.

§ 302–7.1 Eligibility and limitations.(a) Eligibility. An employee who is en-

titled to transportation of his/herhousehold goods under part 302–8 shall,instead of such transportation, be enti-tled to an allowance, as provided inthis part, for the transportation of amobile home for use as a residence. Tobe eligible for the allowance, the em-ployee shall certify in a manner pre-scribed by the head of the employingagency that the mobile home is for useas a residence for the employee and/orhis/her immediate family at the des-tination. If an employee is not eligibleto receive an allowance for movementof his/her mobile home, he/she may beeligible to receive an allowance basedon the transportation of his/her house-hold goods under part 302–8.

(b) Geographic limitations—(1) Over-land transportation. Allowances fortransportation of mobile homes over-land may be made only for transpor-tation of such homes within the con-tinental United States (CONUS), with-in Alaska, and through Canada enroute between Alaska and CONUS. Al-lowances for transportation within thelimits prescribed may be paid eventhough the transportation involved

originates, terminates, or passesthrough locations not covered, pro-vided the amount of the allowanceshall be computed on the basis of thatpart of the transportation which iswithin CONUS, within Alaska, orthrough Canada en route between Alas-ka and CONUS.

(2) Over-water transportation. Allow-ances for transportation of mobilehomes over-water may be made onlyfor transportation of such homes froma point of origin either within CONUSor within Alaska to a destination pointeither within CONUS or within Alaska.

(c) Relationship to other allowances.Allowances for transporting mobilehomes (including mileage when towedby employee) are in addition to pay-ment of per diem, mileage, and trans-portation expenses for employees andtheir immediate families. However, thefact that a mobile home may be movedat Government expense only if the em-ployee certifies that it is to be used asa residence at the destination shouldbe considered in determining allow-ances to be paid under parts 302–4, 302–5, and 302–6.

[54 FR 20323, May 10, 1989, as amended byFTR Amdt. 20, 56 FR 46989, Sept. 17, 1991]

§ 302–7.2 Computation of distances.(a) Standard highway mileage. Where

points of origin and destination arewithin the continental United Statesand Alaska, the allowable distance be-tween these points shall be that shownin the standard highway mileageguides or actual miles driven as deter-mined from odometer readings. (Actualodometer readings need not be shownon the travel voucher.) Any substantialdeviation from distances shown in thestandard highway mileage guides shallbe explained.

(b) Islands involved. In addition tomileage, if the point of origin or des-tination is an island within the bound-aries of one of the continental UnitedStates or Alaska and a ferry is used intransportation of a mobile home, thestatute mileage between the island andthe usual place of arrival or departureon the mainland shall be allowed, ex-cept that when such mileage is in-cluded in the standard highway mile-age guides the mileage shown thereinshall be used.

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(c) Unauthorized transportation in-volved. Where point of origin or des-tination, or both, are not in the con-tinental United States or Alaska, theallowable distance shall be limited tothe distance which the mobile home istransported within or between any ofthe continental United States andAlaska, and through Canada en routebetween Alaska and the continentalUnited States. In such instances, themileage shall be computed as providedin paragraph (a) of this section.

§ 302–7.3 Computation of allowances.(a) Transportation by commercial car-

rier. When a mobile home is trans-ported by commercial carrier, an al-lowance for transportation costs shallinclude the following (see paragraph (d)of this section for preparation fees alsoallowable as transportation costs):

(1) The carrier’s charges for actualtransportation of the mobile home inan amount not exceeding the applica-ble tariff as approved by the InterstateCommerce Commission (or appropriateState regulatory body for intrastatemovements) for transportation of amobile home of the size and type in-volved for the distance involved, pro-vided any substantial deviation frommileage shown in the standard highwaymileage guides is explained;

(2) Ferry fares and bridge, road, andtunnel tolls;

(3) Taxes, charges or fees fixed by aState or other government authorityfor permits to transport mobile homesin or through its jurisdiction;

(4) Carrier’s service charges for ob-taining necessary permits; and

(5) Charges for a pilot (flag) car or es-cort services, when such services arerequired by State or local law.

(b) Transportation by private means—(1) Overland transportation. When a mo-bile homes is transported overland bymeans other than a commercial car-rier, such as when it is towed by a pri-vately owned conveyance, an allowanceof 11 cents per mile shall be made as re-imbursement for the transportationcosts listed in paragraph (a) of this sec-tion. In addition, an agency may paythe costs of preparing a mobile homefor movement and resettling it at thedestination as provided in paragraph(d) of this section. No other allowance

shall be made for transportation of themobile home under this part. However,in addition to the 11-cent allowanceand the allowance under paragraph (d)of this section, an agency may pay themileage allowance for use of a pri-vately owned conveyance as providedin § 302–2.3.

(2) Transportation over-water. When aboat used as a primary residence istransported over-water, an allowancefor transportation costs shall include,but not be limited to:

(i) The cost of fuel and oil used forpropulsion of the boat;

(ii) The cost of pilots or navigators inthe open water;

(iii) The cost of a crew;(iv) Charges for harbor pilots;(v) The cost of docking fees incurred

in transit;(vi) Harbor or port fees and similar

charges relating to entry in and navi-gation through ports; and

(vii) The cost of towing, whether intow or towing by pushing from behind.

(c) Mixed method of transportation.When a mobile home is transportedpartly by commercial carrier and part-ly by private means, the allowances de-scribed in paragraphs (a) and (b) of thissection apply to the respective portionsof the transportation.

(d) Other allowable transportationcosts. In addition to the allowances pro-vided for in paragraphs (a) through (c)of this section, an allowance for trans-portation shall include costs generallyassociated with preparing a mobilehome at a point of origin inside Alaskaor CONUS for movement and resettlingthe mobile home at the destination in-side Alaska or CONUS. Any costs forpreparing a mobile home located out-side Alaska or CONUS for movement,and any costs for resettling a mobilehome outside Alaska or CONUS shallnot be reimbursed. Preparation costsinclude but are not limited to:

(1) The costs of blocking andunblocking (including anchoring andunanchoring);

(2) The labor costs of removing andinstalling skirting;

(3) The cost of separating, preparing,and sealing each section for movement;

(4) The cost of reassembling the twohalves of a double-wide mobile home;and

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(5) Travel lift fees.(e) Unallowable costs. An individual’s

transportation allowance shall not in-clude the following costs (see part 302–3 which relates to the miscellaneousexpenses allowance):

(1) All costs for replacement parts,tire purchases, structural repairs,brake repairs, or any other repairs ormaintenance performed;

(2) Costs of insurance for valuation ofmobile homes above carriers’ maxi-mum liabilities, or charges designatedin the tariffs as ‘‘Special Service;’’

(3) Costs of storage; and(4) Costs of connecting and dis-

connecting appliances, equipment, andutilities involved in relocation andcosts of converting appliances for oper-ation on available utilities.

(f) Optional use of Government bill oflading. Instead of the allowances to theemployee provided in paragraphs (a)through (e) of this section, the agencymay, when it determines such action tobe in the Government’s interest, as-sume direct responsibility for transpor-tation of an employee’s mobile home,issuing necessary bills of lading, andpaying the costs involved. In such in-stances, the employee shall not receiveany other allowance for the transpor-tation involved and shall be chargedany cost the Government must payunder the bill of lading which wouldnot be allowed under this section orwhich is in excess of that allowableunder § 302–7.4.

[FTR Amdt. 20, 56 FR 46990, Sept. 17, 1991]

§ 302–7.4 Limitation on allowances.The total amount allowable in § 302–

7.3 shall not exceed the maximumamount which would be allowable fortransportation and 90 days’ temporarystorage of the employee’s householdgoods if, instead of moving a mobilehome, the maximum quantity of house-hold goods allowable under § 302–8.2 hadbeen moved.

§ 302–7.5 Advance of funds.An advance of funds may be allowed

an employee for the transportation of amobile home under the requirementsprovided in § 302–1.14(a). The amount ofadvance shall not exceed either the es-timated amount allowable under § 302–7.3(a) of the construction cost deter-

mined under § 302–7.4. No advance is au-thorized when a Government bill oflading is used as provided in § 302–7.3(f).

[FTR Amdt. 20, 56 FR 46990, Sept. 17, 1991]

PART 302–8—TRANSPORTATIONAND TEMPORARY STORAGE OFHOUSEHOLD GOODS AND PRO-FESSIONAL BOOKS, PAPERS, ANDEQUIPMENT

Sec.302–8.1 Applicability.302–8.2 General limitations.302–8.3 Transportation within the continen-

tal United States.302–8.4 Transportation outside the con-

tinental United States.302–8.5 Temporary storage.302–8.6 Advance of funds.

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20324, May 10, 1989, unlessotherwise noted.

§ 302–8.1 Applicability.Employees covered by this subtitle

who have complied with the general re-quirements as contained in part 302–1are eligible for transportation and tem-porary storage of their household goodssubject to the provisions of this partwhen they are transferred, regardlessof whether the official stations in-volved are within or outside the con-tinental United States, are appointedto positions in which Governmenttransportation to the first official sta-tion is allowable, or are separated aftercompletion of a period of service over-seas.

[54 FR 20324, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–8.2 General limitations.(a) Maximum weight allowance. The

maximum weight of household goodsthat may be transported or stored atGovernment expense is limited to 18,000pounds net weight for all employees.The total weight of household goodsstored under § 302–9.2 plus the weight ofhousehold goods transported under thispart shall not exceed the maximumweight allowance prescribed in thisparagraph.

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(b) Professional books, papers, andequipment. (1) For purposes of this part,the term ‘‘professional books, papers,and equipment’’ includes those profes-sional or specialized items and othermaterials which are personally ownedby the employee for use in the perform-ance of official duties. The term doesnot include sports equipment or office,household, or shop fixtures and fur-niture; e.g., bookcases, file cabinets,desks, and racks of any kind eventhough used in connection with theprofessional books, papers, and equip-ment.

(2) There is no statutory authority totransport personally owned profes-sional books, papers, and equipment inaddition to the maximum weight al-lowance (§ 302–8.2(a)) established by lawfor transportation of an employee’shousehold goods and personal effects.However, there may be instances inwhich the weight of the professionalbooks, papers, and equipment wouldcause an employee’s household goodsshipment to be in excess of the maxi-mum weight allowance. In such in-stances, the personally owned profes-sional books, papers, and equipmentmay be transported to the new perma-nent duty station as an administrativeexpense of an agency (not chargeableto travel and transportation appropria-tions). Shipment of these items as anadministrative expense would be in-stead of shipment as an allowance ofthe employee.

(3) Authority to transport profes-sional books, papers, and equipment asan administrative expense shall be sub-ject to agency policy and discretionwithin the following guidelines:

(i) The employee shall furnish anitemized inventory of professionalbooks, papers, and equipment for re-view by an appropriate authorizing of-ficial at the new permanent duty sta-tion. In addition, the employee shallfurnish appropriate evidence (as deter-mined by the agency concerned) thattransporting the itemized materials aspart of the employee’s household goodswould result in an excess of the em-ployee’s maximum weight allowance.

(ii) The authorizing official at thenew permanent duty station shall re-view and certify that the professionalbooks, papers, and equipment as

itemized are necessary in the properperformance of the employee’s dutiesat the new duty station and that ifthese items were not transported tothe new duty station, the same or simi-lar items would have to be obtained atGovernment expense for the employ-ee’s use at the new duty station.

(iii) When professional books, papers,and equipment are certified as providedin paragraph (b)(3)(ii) of this sectionand shipped for the employee as an ad-ministrative expense of an agency,shipment shall be by the actual ex-pense method; the commuted ratemethod shall not be used. Whenshipped in the same lot with the em-ployee’s household goods and other per-sonal effects under the actual expensemethod, the professional books, papers,and equipment shall be packed andweighed separately; the weight thereofand the administrative appropriationchargeable shall be stated as separateitems on the Government bill of lading.In unusual instances in which it is im-practical or impossible to obtain sepa-rate weights, a constructive weight of 7pounds per cubic foot may be used.

(c) Determining the net weight—(1)Uncrated shipments. When householdgoods are shipped uncrated as in ahousehold mover’s van or similar con-veyance, the net weight shall be thatshown on the bill of lading or on theweight certificate attached thereto,which, under Interstate CommerceCommission (ICC) regulations, includesthe weight of barrels, boxes, cartons,and similar materials used in packing,but does not include pads, chains, dol-lies, and other equipment needed toload and secure the shipment. When anoncommercial means of shipment isinvolved (see § 302–8.3(a)(3)), the ICCregulations shall apply for determiningthe net weight. When an employee’sclaim is based on constructive weightas authorized in paragraph (c)(4) of thissection, the net weight shall be theweight as determined under that provi-sion.

(2) Crated shipments. When property istransported crated, the net weightshall not include the weight of thecrating material. The net weight shallbe computed as being 60 percent of thegross weight. However, if the net

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weight computed in this manner ex-ceeds the applicable weight limitationand if it is determined that, for reasonsbeyond the employee’s control, unusu-ally heavy crating and packing mate-rials were necessarily used, the netweight may be computed at less than60 percent of the gross weight.

(3) Containerized shipments. When spe-cial containers designed normally forrepeated use, such as lift vans, CONEXtransporters, and household-goodsshipping boxes are used and the knowntare weight does not include the weightof interior bracing and padding mate-rials but only the weight of the con-tainer, the net weight of the householdgoods shall be 85 percent of the grossweight less the weight of the container.If the known tare weight includes inte-rior bracing and padding materials sothat the net weight is the same as itwould be for uncrated shipments ininterstate commerce, the net weightshall not be subject to the reduction. Ifthe gross weight of the container can-not be obtained, the net weight of thehousehold goods shall be determinedfrom the cubic measurement on thebasis of 7 pounds per cubic foot of prop-erly loaded container space.

(4) Constructive weight. If no adequatescale is available at point of origin, atany point en route, or at destination, aconstructive weight, based on 7 poundsper cubic foot of properly loaded vanspace, may be used. Such constructiveweight also may be used for a part-loadwhen its weight could not be obtainedat origin, en route, or at destination,without first unloading it or otherpart-loads being carried in the samevehicle, or when the household goodsare not weighed because the carrier’scharges for a local or metropolitanarea move are properly computed on abasis other than the weight or volumeof the shipment (as when payment isbased on an hourly rate and the dis-tance involved). However, in such in-stances the employee should obtain astatement from the carrier showing theamount of properly loaded van spacerequired for the shipment. (See also§ 302–8.3(a)(3) with respect to proof ofentitlement to a commuted rate pay-ment when net weight cannot beshown.)

(d) Temporary storage time limit. Thetime allowable for temporary storagein connection with an authorized ship-ment of household goods shall not ex-ceed a period of 90 days. This time pe-riod also applies when an employee re-turns to his/her place of actual resi-dence for leave before serving a newtour of duty outside the continentalUnited States either at a different postof duty or at the same post of duty ifthe storage is provided instead of fur-nished quarters or a quarters allow-ance. However, upon an employee’swritten request, the initial 90-day pe-riod may be extended an additional pe-riod not to exceed 90 days under cer-tain conditions if approved by theagency head or his/her designee. Jus-tification for an additional storage pe-riod may include, but is not limited to,the following reasons:

(1) An intervening temporary duty orlong-term training assignment;

(2) Nonavailability of suitable hous-ing;

(3) Completion of residence underconstruction;

(4) Serious illness of employee or ill-ness or death of a dependent; or

(5) Strikes, acts of God, or other cir-cumstances beyond the control of theemployee.

(e) Origin and destination. Cost oftransportation of household goods maybe paid by the Government whether theshipment originates at the employee’slast official station or place of resi-dence or at some other point, or if partof the shipment originates at the lastofficial station and the remainder atone or more other points. Similarly,these expenses are allowable whetherthe point of destination is the new offi-cial station or some other point se-lected by the employee, or if the des-tination for part of the property is thenew official station and the remainderis shipped to one or more other points.However, the total amount which maybe paid or reimbursed by the Govern-ment shall not exceed the cost of trans-porting the property in one lot by themost economical route from the lastofficial station of the transferring em-ployee (or the place of actual residenceof the new appointee at time of ap-pointment) to the new official station.

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In connection with return from over-seas for separation, see § 302–1.12(d). Noproperty acquired by the employee enroute between old and new official sta-tions shall be eligible for transpor-tation under this part.

(f) Loss and damage liability. Limita-tions on the Government’s liability forloss or damage of an employee’s house-hold goods are contained in the Mili-tary Personnel and Civilian Employees’Claims Act of 1964 (31 U.S.C. 3721–3723)and in agency rules and regulationsissued under the authority thereof.Since agency practices and regulationsunder that Act differ, and in view ofthe different circumstances underwhich household goods are transportedand temporarily stored under the au-thority of this part, each agencyshould advise transferred employees ofthe applicability and restrictions onclaims against the Government for lossand damage as related to the transpor-tation circumstances involved. Agen-cies should also be prepared to give ad-vice to employees as to the liability ofthe carrier for loss and damage oftransported household goods in thetransportation circumstances involvedso that they will be able to evaluatethe need for insurance and the advis-ability of incurring a valuation charge.(For interstate shipments by motorcarrier on commercial bills of lading,see 49 CFR part 1056.)

[54 FR 20324, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–8.3 Transportation within thecontinental United States.

(a) The commuted rate system—(1) De-scription. Under the commuted rate sys-tem an employee makes his/her own ar-rangements for transporting householdgoods between points within the con-tinental United States. He/She selectsand pays the carrier or transports his/her goods by noncommercial meansand is reimbursed by the Governmentin accordance with schedules of com-muted rates which are contained in theGSA publication, Commuted RateSchedule for Transportation of House-hold Goods. Agencies requiring thispublication shall prepare a StandardForm 1, Printing and Binding Requisi-tion, and send it to: Superintendent ofDocuments, Departmental Account

Representative Division, U.S. Govern-ment Printing Office (GPO), Washing-ton, DC 20401. The schedules of com-muted rates which are developed fromtariffs that carriers have filed with theInterstate Commerce Commission con-sist of tables to be applied to the par-ticular transportation involved. Thecommuted rate includes costs of line-haul transportation, packing, crating,unpacking, drayage incident to trans-portation, and other accessorialcharges. Costs of temporary storagewhich are subject to reimbursementunder § 302–8.5 are stated separately inthe schedule of commuted rates.

(2) Reimbursement. When the com-muted rate system is used, the amountto be paid to the employee for trans-portation and related services is com-puted by multiplying the number ofhundreds of pounds shipped (within themaximum weight allowance) by the ap-plicable rate per hundred pounds forthe distance shipped as shown in thecommuted rate schedule. The distanceshall be determined in accordance withhousehold goods mileage guides filedwith the Interstate Commerce Com-mission. If the rate is not shown in thecommuted rate schedule for the exactmileage, the rate shown for the nextgreater distance applies. If an em-ployee is charged a minimum weightabove the actual weight of his/herhousehold goods under the applicabletariff (other than one based on expe-dited or special services), the reim-bursement shall be based on the mini-mum weight as charged instead of theactual weight of the goods.

(3) Documentation. Claims for reim-bursement under the commuted ratesystem shall be supported by areceipted copy of the bill of lading (areproduced copy may be accepted) in-cluding any attached weight certificatecopies if such a bill was issued. If nobill of lading was involved, other evi-dence showing points of origin and des-tination and the weight of the goodsmust be submitted. Employees whotransport their own household goodsare cautioned to establish the weightof such goods by obtaining properweight certificates showing grossweight (weight of vehicle and goods)and tare weight (weight of vehicle

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–8.3

alone) because compliance with the re-quirements for payment at commutedrates on the basis of constructiveweight (see § 302–8.2(c)(4)) usually is notpossible.

(b) Actual expense method—(1) Descrip-tion. Under the actual expense method,the Government assumes responsibilityfor awarding contracts and for othernegotiations with carriers. The prop-erty is shipped on a Government bill oflading, and the Government audits andpays transportation vouchers directlyto carriers. Under the actual expensemethod, the household goods areshipped by the Government, not by theemployee.

(2) Agency responsibility. Selection ofthe carrier, arranging for carrier serv-ices and for packing and crating, pre-paring the Government bill of lading,paying charges incurred, and process-ing any loss and damage claims are thedirect responsibility of the agency.

(3) Allowable charges. The actual costsof transportation of household goodswithin the authorized weight limitswill be allowed at Government expense.Also, within that weight limit, the ac-tual costs for packing, crating, unpack-ing, drayage incident to transpor-tation, and necessary accessorial serv-ices shall be allowed.

(4) Multiple shipment procedures. Whenthe actual expense method is used inshipping household goods belonging totwo or more employees between thesame two points, the weight of thehousehold goods of each employee is tobe identified for the purpose of apply-ing the maximum weight limitations.

(5) Excess weight procedures. When theweight of an employee’s householdgoods exceeds the maximum weightlimitation, the total quantity may beshipped on a Government bill of lading,but the employee shall reimburse theGovernment for the cost of transpor-tation and other charges applicable tothe excess weight, computed from thetotal charges according to the ratio ofexcess weight to the total weight of theshipment.

(c) Use of commuted rate or actual ex-pense method—(1) Considerations. Whenthe commuted rate system is used, theGovernment is relieved of the respon-sibility and administrative expense ofselecting and dealing with carriers and

making other arrangements for trans-porting employees’ household goods;however, the Government cannot takeadvantage of special discounts whichmay be offered. On the other hand,when the actual expense method isused, the Government incurs the addi-tional expenses of selecting and dealingwith carriers, preparing bills of lading,auditing and paying transportationvouchers, supervising the packing ofhousehold goods, handling employeeloss and damage claims, and otherincidentals.

(2) Estimating costs. Under the com-muted rate system, an accurate esti-mate of cost depends upon the accu-racy of the estimate of weight. How-ever, under the actual expense methodthe cost to the Government will usu-ally depend not only on the weight in-volved but also on the accessorial serv-ices required, the quality of packingand the quantity of individual cartons,boxes, barrels, and wardrobes used bythe carrier in packing. When the com-muted rate system is used, the packingand accessorial charges are authorizedand paid for by the employee from theamounts allowed for those chargesunder that system. Under the actualexpense method, the accessorial andpacking charges are paid by the Gov-ernment, and if those charges are high,they may more than offset any dis-count in the line-haul rate which maybe available for shipments by Govern-ment bill of lading. A proper compari-son of costs must take into account theline-haul transportation charge, theadministrative costs as indicated inparagraph (c)(1) of this section, and theexpected accessorial and packingcharges.

(3) Policy. The general policy is thatcommuted rates shall be used for trans-portation of employees’ householdgoods when individual transfers are in-volved, and that appropriate action, de-pending on the amount of goods to betransported, shall be taken to estimateand compare actual expense methodcosts with commuted rate costs whengroups of employees are transferred be-tween the same official stations at ap-proximately the same time so that themethod resulting in less cost to the

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Government may be used. Specific pro-cedures to be followed are contained inparagraph (c)(4) of this section.

(4) Criteria for use of the actual expensemethod—(i) Individual transfers. Agencyexperience with the actual expensemethod has shown that shipment byGovernment bill of lading does not re-sult in savings simply because a line-haul discount is available. Therefore,the commuted rate system shall beused for individual transfers withoutconsideration being given the actualexpense method; except that the actualexpense method may be used if the ac-tual costs to be incurred by the Gov-ernment for packing and other accesso-rial services are predetermined (atleast as to price per 100 pounds) and ifthat method is expected to result in areal savings to the Government of $100or more. (For intrastate transfers, seeparagraph (c)(4)(iv) of this section.)

(ii) Multiple transfers. Under generalrate tenders arranged by GSA and theDepartment of Defense (DOD), partici-pating carriers agree to transport thehousehold goods of Government em-ployees at rates below commercialrates for specific periods of time. Thesetenders are arranged under 49 U.S.C.10721, and no further agency negotia-tion is necessary to take advantage ofthem. Agencies shall evaluate the useof such rates when, because of thetransfer of several employees, theyhave a large volume of household goodsto be moved between the same placesat the same time even though no massmove is involved; however, the addedcosts for use of the actual expensemethod, as discussed in paragraph(c)(1) of this section, and the uncer-tainty as to total cost for packing andaccessorial services, as discussed inparagraph (c)(2) of this section, shall betaken into consideration, and the ac-tual expense method shall be selectedonly if it is considered likely that areal savings to the Government will re-sult from the use of that method.

(iii) Mass moves. Whenever an entirefacility is being relocated or wheneverit is anticipated that 10 or more ship-ments of household goods are to betransported between the same twopoints at approximately the same time,the agency involved shall notify theappropriate regional or zonal office of

the General Services Administration(for civilian agencies without special-ized transportation personnel) or theappropriate transportation office ofDOD (for components of that Depart-ment) of the forthcoming move so thatan analysis can be made of existingavailable rates for use under the actualexpense method. The notification shallbe accompanied by all pertinent infor-mation concerning points of origin anddestination, estimated weights of prop-erty, the number of persons or differentfamilies involved, and dates or periodsof time when each person or family isexpected to move. When appropriate,the GSA or DOD transportation organi-zation shall attempt to arrange withcarriers for worthwhile reduced ratesand shall advise the agency concernedof the results of such efforts. If theseefforts show that a saving will result,considering all direct and indirectcosts involved, the actual expensemethod shall be used. Otherwise, thecommuted rate system shall be used.

(iv) Unusual circumstances. The com-muted rates do not take into accountintrastate rates that in some instancesmay be substantially higher than theinterstate rates that form the basis forthe commuted rates. In order to avoidthe necessity of prescribing commutedrates for such circumstances, the ac-tual expense method (Government billof lading) may be used when it is ad-ministratively determined that thecommuted rate system would cause anunusual hardship for an employeetransferring between official stationswithin a State. This authority shallnot be used indiscriminately, and itsuse shall be carefully documented andjustified.

[54 FR 20324, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–8.4 Transportation outside thecontinental United States.

(a) Coverage. This section containsspecial rules which are applicable tothe transportation of household goodsat Government expense to, from, andbetween points outside the continentalUnited States. Individual eligibility iscovered in part 302–1.

(b) Weight limitation. The maximumweight specified in § 302–8.2 is applica-ble; however, where furnished or partly

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furnished quarters are to be providedoutside the continental United States(in the case of a transfer to such a sta-tion) or have been provided (in the caseof a return to the continental UnitedStates), agencies shall make an appro-priate reduction in the weight ofhousehold goods which may be author-ized for shipment at Government ex-pense.

(c) Allowable costs—(1) Actual expensebasis. Transportation authorized underthis section shall be on an actual ex-pense basis. Actual expense includescosts of transportation of householdgoods, packing and crating (includingpacking and crating materials andtemporary containers), unpacking, andother necessary accessorial chargeswithin applicable limits.

(2) Drayage. If door-to-door commoncarrier rates are not applicable, allow-able costs include the actual costs ofdrayage to and from the common car-rier for goods not in excess of the au-thorized weight.

(3) Lift vans. Charges allowable forpacking and crating and for transpor-tation include expenses incurred in hir-ing, transporting, and packing lift vanswhen shipments are made in whole orin part by water, but do not includecharges in connection with any ship-ment or storage of empty lift vans orimport duties on lift vans.

(4) Valuation. The valuation of prop-erty as declared for shipping will notexceed that to which the lowest freightrates will apply except as provided inparagraph (e)(3) of this section.

(d) Procedures applicable—(1) Trans-portation and related services. The allow-able transportation and related serv-ices may be obtained by the agencyconcerned from any available commer-cial carrier, except that all shipmentsof property by water shall be made onships registered under the laws of theUnited States whenever such ships areavailable.

(2) Use of Government bill of lading.Commercial shipments will be made onGovernment bills of lading or purchaseorders whenever possible; otherwise,reimbursement shall be made to theemployee for transportation expensesactually and necessarily incurred with-in the limitations prescribed by thissection.

(3) Itemization of charges. If the serv-ices rendered cover, in addition totransportation, other services such aspacking, crating, drayage, unpacking,and temporary storage, the totalcharge for the services shall beitemized to show the charge for eachservice.

(e) Services in excess of those author-ized—(1) By means other than selected.An employee may elect to have his/herhousehold goods moved by some meansother than the means selected by theGovernment, except as noted in para-graph (d)(1) of this section relating totransportation by foreign flag vessels,on the condition that he/she will paythe amount, if any, by which thecharges for the means of transpor-tation selected by him/her exceed thecharges for the means of transpor-tation selected by the Government.

(2) Excess weight. If household goodsin excess of the weight allowable underthis regulation are shipped on a Gov-ernment bill of lading or purchaseorder, the employee shall promptlyupon completion of the shipment paythe proper agency official for the ex-cess cost. The excess cost shall be com-puted from the total charges accordingto the ratio of excess weight to thetotal weight of the shipment.

(3) Excess valuation or insurance. Anemployee may declare a valuationabove the minimum permitted if he/sheassumes all additional expenses result-ing therefrom, including the cost of in-surance needed to protect the highervaluation. (See § 302–8.2(f).)

[54 FR 20324, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–8.5 Temporary storage.

(a) Applicability. Temporary storageof household goods at Government ex-pense may be allowable only when suchstorage is incident to transportation ofthe household goods at Government ex-pense.

(b) Allowable expenses—(1) Commutedrate system. In connection with trans-portation within the continentalUnited States under the commutedrate system, costs of temporary stor-age within the applicable weight limitwill be reimbursed to the employee inthe amount of his/her costs for storage

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including in and out charges and nec-essary drayage, but not to exceed thecommuted rates for storage in the GSApublication, Commuted Rate Schedulefor Transportation of Household Goods.(See § 302–8.3(a)(1).) A receipted copy ofthe warehouse or other bill for storagecosts is required to support reimburse-ment.

(2) Actual expense method. In connec-tion with transportation within or out-side the United States when the actualexpense method is used, the Govern-ment will normally arrange for nec-essary temporary storage and pay thecost thereof direct. If an employeemust arrange for temporary storage inconnection with transportation by theactual expense method, he/she may bereimbursed for reasonable costs in-curred for storage including in and outcharges and necessary drayage withinthe applicable limitations. Charges forexcess weight, valuation above theminimum amount, and services ob-tained by the employee at higher costsshall be the responsibility of the em-ployee in the same manner as he/she isresponsible for excess costs incident totransportation. (See §§ 302–8.3(b)(5) and302–8.4(e).)

§ 302–8.6 Advance of funds.(a) Commuted rate system. Advances of

funds may be made to employees up tothe estimated amount of the commutedpayment for the cost of authorizedtransportation and temporary storageof their household goods under the pro-cedures and policies prescribed in § 302–1.14(a).

(b) Overseas shipments. For overseasshipment, advance of funds may bemade for the estimated cost of trans-portation and temporary storage onlyif the cost of authorized transportationand temporary storage will not be paiddirectly by the Government, as is thecase when a Government bill of ladingor purchase order is used.

(c) Procedures. In requesting an ad-vance of funds, the employee shall sub-mit a written statement designating:

(1) The points of origin and destina-tion,

(2) The estimated weight of house-hold goods to be shipped, and

(3) Any anticipated temporary stor-age not to exceed a period of 90 days at

Government expense. The estimate ofweight required in support of an ad-vance of funds shall consist of a state-ment of the estimated weight signed bythe carrier selected to handle the ship-ment, if available. If not available, evi-dence of actual weight or a reasonableestimate thereof acceptable to theagency shall be furnished.

PART 302–9—ALLOWANCES FORNONTEMPORARY STORAGE OFHOUSEHOLD GOODS

Sec.302–9.1 Nontemporary storage during as-

signment to isolated locations in thecontinental United States.

302–9.2 Nontemporary storage during as-signment outside the continental UnitedStates.

302–9.3 Storage during school recess for De-partment of Defense overseas teachers.

302–9.4 Advance of funds.

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20328, May 10, 1989, unlessotherwise noted.

§ 302–9.1 Nontemporary storage duringassignment to isolated locations inthe continental United States.

(a) Policy. Nontemporary storage ofhousehold goods belonging to an em-ployee transferred or a new appointeeassigned to an official station at anisolated location in the continentalUnited States shall be allowed onlywhen it is clearly justified under theconditions in this part and is not pri-marily for the convenience or at the re-quest of the employee or the new ap-pointee.

(b) Isolated official stations—criteria.Under this section, an official stationat an isolated location is a place of per-manent duty assignment in the con-tinental United States at which an em-ployee has no alternative except to livewhere he/she is unable to use his/herhousehold goods because:

(1) The type of quarters he/she is re-quired to occupy at the isolated perma-nent duty station will not accommo-date his/her household goods; or

(2) Residence quarters which wouldaccommodate his/her household goodsare not available within reasonable

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daily commuting distance of the offi-cial station. However, the designationof an official station as isolated in ac-cordance with paragraph (c) of this sec-tion shall not preclude a determinationin individual instances that adequatehousing is available for some employ-ees stationed there based on housingwhich may be available within dailycommuting distance and the size andother characteristics of each employ-ee’s immediate family. In such in-stances, the station shall not be con-sidered isolated with regard to thoseemployees for whom adequate familyhousing is determined to be available.

(c) Isolated official stations—designa-tion. Heads of agencies concerned areresponsible for designating the isolatedofficial stations at which conditionsexist for allowing nontemporary stor-age of household goods at Governmentexpense for some or all employees.

(d) Eligibility. Eligibility for non-temporary storage of household goodsand personal effects applies to an em-ployee stationed at an isolated officialstation, which meets the criteria inparagraph (b) of this section, who per-formed permanent change of stationtravel or travel as a new appointee.

(e) Authorization. The authorizationfor nontemporary storage should becontained in the travel order or otherdocument authorizing transfer or ap-pointment at an isolated official sta-tion. However, storage may be ap-proved subsequently if the employee ornew appointee is otherwise eligible.

(f) Allowable storage—(1) Place of stor-age. Under regulations prescribed bythe head of the agency concerned, theproperty may be stored either in avail-able Government-owned storage spaceor in suitable commercial or privatelyowned space obtained by the Govern-ment if Government-owned space is notavailable or if commercial or privatelyowned space is more economical orsuitable because of location, differenceof transportation costs, or for otherreasons.

(2) Allowable costs. Allowable costs forstoring the property include the cost ofnecessary packing, crating, unpacking,uncrating, transportation to and fromplace of storage, charges while in stor-age, and other necessary charges di-rectly relating to the storage.

(3) Partial storage. An eligible em-ployee or new appointee may be au-thorized to have a portion of his/herhousehold goods transported to the iso-lated official station and to have theremainder stored at Government ex-pense. However, the weight of thegoods stored plus the weight of thegoods transported shall not exceed themaximum applicable weight allowancefor which the employee is eligible.

(4) Changes in type of storage. Author-ity may be granted for the conversionof household goods from temporary tonontemporary storage and from stor-age at personal expense to non-temporary storage at Government ex-pense.

(g) Time limitations. Nontemporarystorage shall be authorized for periodsof time not exceeding 1 year and ex-tended as necessary in accordance withthe length of an employee’s assignmentat an isolated official station. Appro-priate periodic review shall be made todetermine whether current conditionsat the isolated locality with regard toavailability of housing warrant con-tinuation of the authority for non-temporary storage. Eligibility for non-temporary storage at Government ex-pense shall terminate on the employ-ee’s last day of active duty at the iso-lated official station. When an em-ployee ceases to be eligible, non-temporary storage at Government ex-pense may continue until the begin-ning of the second month after themonth in which his eligibility termi-nates. However, the period of non-temporary storage shall not exceed 3years.

[54 FR 20328, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–9.2 Nontemporary storage duringassignment outside the continentalUnited States.

(a) Eligibility. Under regulations thatmay be prescribed by the head of theagency concerned, an employee sta-tioned at an official station other thanone located in the continental UnitedStates or an employee or new ap-pointee transferred or appointed tosuch a station may be allowed non-temporary storage of his/her householdgoods while so assigned if:

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(1) The official station is one towhich he/she is not authorized to take,or at which he/she is unable to use, thehousehold goods; or

(2) The storage is authorized in thepublic interest; or

(3) The estimated cost of storagewould be less than the cost of round-trip transportation (including tem-porary storage) of the household goodsto the new official station.

(b) Authorization. Normally, the au-thorization for nontemporary storageshall be contained in the travel orderor other document authorizing the em-ployee’s change of station or authoriz-ing a new appointee to report to his/herofficial station. However, storage maybe approved subsequently if the em-ployee or new appointee would other-wise be eligible.

(c) Allowable storage—(1) Place of stor-age. The property may be stored eitherin available Government-owned stor-age space or in suitable commercial orprivately owned space if Government-owned space is not available or if com-mercial or privately owned space ob-tained by the Government is more eco-nomical or suitable because of loca-tion, difference of transportation costs,or other reasons.

(2) Allowable costs. Allowable costs forstoring the property include the cost ofnecessary packing, crating, unpacking,uncrating, transportation to and fromplace of storage, charges while in stor-age, and other necessary charges di-rectly relating to the storage.

(3) Partial storage. The employee ornew appointee may be authorized tohave a portion of his/her goods trans-ported to the official station unless itis a station to which he/she is not au-thorized to take, or at which he/she isunable to use, any of the goods. How-ever, the weight of the goods storedplus the weight of the goods trans-ported shall not exceed the maximumapplicable weight allowance for whichthe employee is eligible.

(4) Change in type of storage. Author-ity may also be granted for the conver-sion of household goods from tem-porary to nontemporary storage atGovernment expense, and from storageat personal expense to nontemporarystorage at Government expense, if the

employee or new appointee is otherwiseeligible.

(d) Time limitations. Nontemporarystorage at Government expense may beauthorized for a period not to exceedthe length of the employee’s tour ofduty at the overseas station plus 1month prior to the time the tour be-gins. The storage period may be ex-tended for subsequent service or toursof duty at the same or other overseasstations if the provisions of paragraph(a) of this section continue to be met.When an employee ceases to be eligiblefor the allowance, storage at Govern-ment expense may continue until thebeginning of the second month afterthe month in which his/her eligibilityterminates, unless to avoid inequitythe agency extends the period. Eligi-bility shall be deemed to terminate onthe last day of active duty at the over-seas station.

§ 302–9.3 Storage during school recessfor Department of Defense overseasteachers.

(a) Description. The Department ofDefense Overseas Teachers Pay andPersonnel Practices Act (20 U.S.C. 905)provides authority for the storage ofthe household goods of Department ofDefense overseas teachers during therecess period between 2 consecutiveschool years.

(b) Regulations. Storage of householdgoods of Department of Defense over-seas teachers may be allowed at Gov-ernment expense under regulations pre-scribed by the Secretary of Defense inaccordance with this part.

(c) Authorization and conditions—(1)Authorization. Storage during theschool recess should be authorizedprior to the close of the school year.However, storage may be approved at alater date if all the required terms andconditions have been fulfilled.

(2) Agreement. To be eligible for recessstorage, a teacher serving at the closeof a school year must agree in writingto serve as a teacher for the nextschool year.

(3) Forfeited entitlements. The storageshall be instead of quarters or quartersallowance authorized by 20 U.S.C. 905and any other storage of householdgoods to which the teacher might be

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entitled through employment in an-other position during any recess periodbetween 2 school years.

(d) Allowable storage—(1) Place of stor-age. The property may be stored eitherin available Government-owned spaceor in suitable commercial or privatelyowned space if Government-ownedspace is not available or if commercialor privately owned space obtained bythe Government is more economical orsuitable because of location, differenceof transportation costs, or other rea-sons.

(2) Allowable costs. Allowable costs forstoring the property include the cost ofnecessary packing, crating, unpacking,uncrating, transportation to and fromplace of storage, charges while in stor-age, and other necessary charges di-rectly relating to the storage.

(3) Weight limitations. The weight ofthe household goods stored during therecess period shall not exceed theweight authorized for the employeeless the weight of household goodsstored under § 302–9.2.

(e) Time limitation. The period of stor-age shall not exceed the period of therecess between the 2 school years.

(f) Breach of agreement. If the teacherdoes not report for service at the begin-ning of the next school year, except forreasons beyond his/her control and ac-ceptable to the Department of Defense,he/she shall be obligated to reimbursethe Department in the amount paid bythe Department for the commercialstorage, including related services. If,however, the property was stored in aGovernment facility, the teacher shallpay the agency an amount equal to thereasonable value of the storage fur-nished, including related services.

[54 FR 20328, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–9.4 Advance of funds.

Advances of funds are not authorizedin connection with the storage allow-ances covered by this part.

[54 FR 20328, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

PART 302–10—ALLOWANCES FORTRANSPORTATION AND EMER-GENCY STORAGE OF A PRI-VATELY OWNED VEHICLE

Subpart A—General Rules

Sec.302–10.1 What is a ‘‘privately owned vehicle

(POV)’’?302–10.2 What is an ‘‘official station’’ for

purposes of this part?302–10.3 What is a ‘‘post of duty’’ for pur-

poses of this part?302–10.4 What are the purposes of the allow-

ance for transportation of a POV?302–10.5 What is the purpose of the allow-

ance for emergency storage of a POV?302–10.6 What POV transportation and

emergency storage may my agency au-thorize at Government expense?

302–10.7 Must my agency authorize trans-portation or emergency storage of myPOV?

302–10.8 What type of POV may I be author-ized to transport, and if necessary, storeunder emergency circumstances?

302–10.9 For what transportation expenseswill my agency pay?

302–10.10 For what POV emergency storageexpenses will my agency pay?

302–10.11 May I receive an advance of fundsfor transportation and emergency stor-age of my POV?

302–10.12 May my agency determine thatdriving my POV is more advantageousand limit my reimbursement to what itwould cost to drive my POV?

Subpart B—Transportation of a POV to aPost of Duty

GENERAL

302–10.100 Who is eligible for transportationof a POV to a post of duty?

302–10.101 In what situations may my agen-cy authorize transportation of a POV tomy post of duty?

302–10.102 How many POV’s may I transportto a post of duty?

302–10.103 Do I have to ship my POV to myactual post of duty?

302–10.104 What may I do if there is no portor terminal at the point of origin and/ordestination?

POV TRANSPORTATION AT TIME OFASSIGNMENT

302–10.140 Under what specific conditionsmay my agency authorize transportationof a POV to my post of duty upon my as-signment to that post of duty?

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302–10.141 What is the ‘‘authorized point oforigin’’ when I transport a POV to mypost of duty?

302–10.142 What will I be reimbursed if Itransport a POV from a point of originthat is different from the authorizedpoint of origin?

302–10.143 When I am authorized to trans-port a POV, may I have the manufac-turer or the manufacturer’s agent trans-port a new POV from the factory or othershipping point directly to my post ofduty?

POV TRANSPORTATION SUBSEQUENT TO THETIME OF ASSIGNMENT

302–10.170 Under what specific conditionsmay my agency authorize transportationof a POV to my post of duty subsequentto the time of my assignment to thatpost of duty?

302–10.171 If circumstances warrant an au-thorization to transport a POV to mypost of duty after my assignment to thepost of duty, must I sign a new serviceagreement?

302–10.172 Under what conditions may myagency authorize transportation of a re-placement POV to my post of duty?

302–10.173 How many replacement POV’smay my agency authorize me to trans-port to my post of duty at Governmentexpense?

302–10.174 What is the ‘‘authorized point oforigin’’ when I transport a POV, includ-ing a replacement POV, to my post ofduty subsequent to the time of my as-signment to that post of duty?

302–10.175 When I am authorized to trans-port a POV, including a replacementPOV, to my post of duty subsequent tothe time of my assignment to that postof duty, may I have the manufacturer orthe manufacturer’s agent transport anew POV from the factory or other ship-ping point directly to my post of duty?

Subpart C—Return Transportation of a POVfrom a Post of Duty

302–10.200 When am I eligible for transpor-tation of a POV from my post of duty?

302–10.201 In what situations will my agencypay to transport a POV transported frommy post of duty?

302–10.202 When do I become entitled totransportation of my POV from my postof duty to an authorized destination?

302–10.203 Is there any circumstance underwhich I may be authorized to transportmy POV from a post of duty before com-pleting my service agreement?

302–10.204 What is the ‘‘authorized point oforigin’’ when I transport my POV frommy post of duty?

302–10.205 What is the ‘‘authorized destina-tion’’ of a POV transported under thissubpart?

302–10.206 What should I do if there is noport or terminal at my authorized pointof origin or authorized destination whenI transport a POV from my post of duty?

302–10.207 What will I be reimbursed if Itransport my POV from a point of originor to a destination that is different frommy authorized origin or destination?

302–10.208 If I retain my POV at my post ofduty after conditions change to make useof the POV no longer in the interest ofthe Government, may I transport it atGovernment expense from the post ofduty at a later date?

302–10.209 Under what conditions may myagency authorize me to transport frommy post of duty a replacement POV pur-chased at that post of duty?

Subpart D—Transportation of a POV WhollyWithin the Continental United States(CONUS)

302–10.300 When am I eligible for transpor-tation of my POV wholly within CONUSat Government expense?

302–10.301 Under what conditions may myagency authorize transportation of myPOV wholly within CONUS?

302–10.302 How many POV’s may I transportwholly within CONUS?

302–10.303 If I am authorized to transportmy POV wholly within CONUS, wheremust the transportation originate?

302–10.304 If I am authorized to transportmy POV wholly within CONUS, whatmust the destination be?

Subpart E—Emergency Storage of a POV

302–10.400 When am I eligible for emergencystorage of my POV?

302–10–401 Where may I store my POV if Ireceive notice to evacuate my immediatefamily and/or household goods from mypost of duty?

Subpart F—Agency Responsibilities

302–10.500 What means of transportationmay we authorize for POV’s?

302–10.501 How should we administer the al-lowances for transportation and emer-gency storage of a POV?

302–10.502 What governing policies must weestablish for the allowances for transpor-tation and emergency storage of a POV?

302–10.503 Under what condition may we au-thorize transportation of a POV to a postof duty?

302–10.504 What factors must we consider indeciding whether to authorize transpor-tation of a POV to a post of duty?

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–10.1

302–10.505 What must we consider in deter-mining whether transportation of a POVwholly within CONUS is cost effective?

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13747, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: FTR Amdt. 65, 62 FR 13794, Mar.21, 1997, unless otherwise noted.

Subpart A—General Rules

NOTE TO SUPART A: Use of the pronouns ‘‘I’’and ‘‘you’’ throughout this subpart refers tothe employee.

§ 302–10.1 What is a ‘‘privately ownedvehicle (POV)’’?

A motor vehicle not owned by theGovernment and used by the employeeor his/her immediate family for the pri-mary purpose of providing personaltransportation.

§ 302–10.2 What is an ‘‘official station’’for purposes of this part?

An official station is defined in § 302–1.4(k). For purposes of this part, an of-ficial station may be within or outsidethe continental United States(CONUS).

§ 302–10.3 What is a ‘‘post of duty’’ forpurposes of this part?

An official station outside CONUS.

§ 302–10.4 What are the purposes ofthe allowance for transportation ofa POV?

To reduce the Government’s overallrelocation costs by allowing transpor-tation of a POV to your official stationwithin CONUS when it is advantageousand cost effective to the Government,and to improve your overall effective-ness if you are transferred or otherwiseassigned to a post of duty at which it isin the interest of the Government foryou to have use of a POV for personaltransportation.

§ 302–10.5 What is the purpose of theallowance for emergency storage ofa POV?

To protect a POV transported atGovernment expense to your post ofduty when the head of your agency de-termines that the post of duty is with-in a zone from which your immediate

family and/or household goods shouldbe evacuated.

§ 302–10.6 What POV transportationand emergency storage may myagency authorize at Governmentexpense?

Your agency may authorize:(a) Transportation of a POV to a post

of duty as provided in subpart B of thispart;

(b) Transportation of a POV from apost of duty as provided in subpart C ofthis part;

(c) Transportation of a POV whollywithin CONUS as provided in subpart Dof this part; and

(d) Emergency storage of a POV asprovided in subpart E of this part.

§ 302–10.7 Must my agency authorizetransportation or emergency stor-age of my POV?

No. However, if your agency does au-thorize transportation of a POV toyour post of duty and you completeyour service agreement, your agencymust pay for the cost of returning thePOV. Your agency determines the con-ditions under which it will pay fortransportation and emergency storageand the procedures a transferred em-ployee must follow.

§ 302–10.8 What type of POV may I beauthorized to transport, and if nec-essary, store under emergency cir-cumstances?

Only a passenger automobile, stationwagon, small truck, or other similarvehicle that will be used primarily forpersonal transportation. You may nottransport or store a trailer, airplane,or any vehicle intended for commercialuse.

§ 302–10.9 For what transportation ex-penses will my agency pay?

When your agency authorizes trans-portation of your POV, it will pay forall necessary and customary expensesdirectly related to the transportationof the POV, including crating andpacking expenses, shipping charges,and port charges for readying the POVfor shipment at the port of embar-kation and for use at the port of debar-kation.

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Relocation Allowances § 302–10.104

§ 302–10.10 For what POV emergencystorage expenses will my agencypay?

All necessary storage expenses, in-cluding but not limited to readying thePOV for storage, local transportationto point of storage, storage, readyingthe POV for use after storage, and localtransportation from the point of stor-age. Insurance on the POV is at yourexpense, unless it is included in the ex-penses allowed by this paragraph.

§ 302–10.11 May I receive an advanceof funds for transportation andemergency storage of my POV?

Yes, in accordance with § 302–1.14(a)and not to exceed the estimatedamount of the expenses authorizedunder this part for transportation andemergency storage of your POV.

§ 302–10.12 May my agency determinethat driving my POV is more advan-tageous and limit my reimburse-ment to what it would cost to drivemy POV?

Yes. Your agency decides whether itis more advantageous for you and/or amember of your immediate family todrive your POV for all or part of thedistance or to have it transported. Ifyour agency decides that driving thePOV is more advantageous, your reim-bursement will be limited to the allow-ances provided in part 302–2 of thischapter for the travel and transpor-tation expenses you and/or your imme-diate family incur en route.

Subpart B—Transportation of aPOV to a Post of Duty

NOTE TO SUBPART B: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

General

§ 302–10.100 Who is eligible for trans-portation of a POV to a post ofduty?

An employee who is authorized totransfer to the post of duty, or a newappointee or a student trainee assignedto the post of duty.

§ 302–10.101 In what situations maymy agency authorize transportationof a POV to my post of duty?

Your agency may authorize transpor-tation when:

(a) At the time of your assignment,conditions warrant such authorizationunder § 302–10.140;

(b) Subsequent to the time of yourassignment conditions, which did notwarrant authorization at the time ofyour assignment, change to warrantsuch authorization under § 302–10.170; or

(c) Subsequent to the time of yourassignment, conditions warrant au-thorization under § 302–10.172 of a re-placement POV.

§ 302–10.102 How many POV’s may Itransport to a post of duty?

One. This does not, however, limitthe transportation of a replacementPOV when authorized under § 302–10.172.

§ 302–10.103 Do I have to ship my POVto my actual post of duty?

Yes. You may not transport the POVto an alternate location.

§ 302–10.104 What may I do if there isno port or terminal at the point oforigin and/or destination?

Your agency will pay the entire costof transporting the POV from yourpoint of origin to your destination. Ifyou prefer, however, you may choose todrive your POV from your point of ori-gin at time of assignment to the near-est embarkation port or terminal, and/or from the debarkation port or termi-nal nearest your destination to yourpost of duty at any time. If you chooseto drive, you will be reimbursed yourone-way mileage cost, at the rate spec-ified in part 301–4 of this subtitle, fordriving the POV from your authorizedorigin to deliver it to the port of em-barkation, or from the port of debarka-tion to the authorized destination. Forthe segment of travel from the port ofembarkation back to your authorizedorigin after delivering the POV to theport, or from your authorized destina-tion to the port of debarkation to pick-up the POV, you will be reimbursedyour one-way transportation cost. Thetotal cost of round-trip travel, to de-liver the POV to the port at the originor to pickup the POV at the port at

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–10.140

your destination, may not exceed thecost of transporting the POV to orfrom the port involved. You may not bereimbursed a per diem allowance forround-trip travel to and from the portinvolved.

POV TRANSPORTATION AT TIME OFASSIGNMENT

§ 302–10.140 Under what specific con-ditions may my agency authorizetransportation of a POV to my postof duty upon my assignment to thatpost of duty?

Your agency may authorize transpor-tation when:

(a) It has determined in accordancewith § 302–10.503 of this part that it is inthe interest of the Government for youto have use of your POV at the post ofduty;

(b) You have signed a service agree-ment; and

(c) You meet any specific conditionsyour agency has established.

§ 302–10.141 What is the ‘‘authorizedpoint of origin’’ when I transport aPOV to my post of duty?

Your ‘‘authorized point of origin’’ isas follows:

If you are a— Your ‘‘authorized point of ori-gin’’ is—

(a) A transferee Your old official station.(b) A new appointee or stu-

dent traineeYour place of actual resi-

dence.

§ 302–10.142 What will I be reimbursedif I transport a POV from a point oforigin that is different from the au-thorized point of origin?

You will be reimbursed the transpor-tation costs you incur, not to exceedthe cost of transporting your POV fromyour authorized point of origin to yourpost of duty.

§ 302–10.143 When I am authorized totransport a POV, may I have themanufacturer or the manufacturer’sagent transport a new POV fromthe factory or other shipping pointdirectly to my post of duty?

Yes, provided:(a) You purchased the POV new from

the manufacturer or manufacturer’sagent;

(b) The POV is transported FOB-ship-ping point, consigned to you and/or amember of your immediate family, oryour agent; and

(c) Ownership of the POV is not vest-ed in the manufacturer or the manufac-turer’s agent during transportation. Inthis circumstance, you will be reim-bursed for the POV transportationcosts, not to exceed the cost of trans-porting the POV from your authorizedpoint of origin to your post of duty.

POV TRANSPORTATION SUBSEQUENT TO

THE TIME OF ASSIGNMENT

§ 302–10.170 Under what specific con-ditions may my agency authorizetransportation of a POV to my postof duty subsequent to the time ofmy assignment to that post of duty?

Your agency may authorize transpor-tation when:

(a) You do not have a POV at yourpost of duty;

(b) You have not previously been au-thorized to transport a POV to thatpost of duty;

(c) You have not previously trans-ported a POV outside CONUS duringyour assignment to that post of duty;

(d) Your agency has determined inaccordance with § 302–10.503 that it is inthe interest of the Government for youto have use of your POV at the post ofduty;

(e) You signed a service agreement atthe time you were transferred in theinterest of the Government, or as-signed if you were a new appointee orstudent trainee, to your post of duty;and

(f) You meet any specific conditionsyour agency has established.

§ 302–10.171 If circumstances warrantan authorization to transport aPOV to my post of duty after my as-signment to the post of duty, must Isign a new service agreement?

No, provided you signed a serviceagreement at the time of your assign-ment to the post of duty. Violation ofthat service agreement, however, willresult in your personal liability for thecost of transporting the POV.

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Relocation Allowances § 302–10.201

§ 302–10.172 Under what conditionsmay my agency authorize transpor-tation of a replacement POV to mypost of duty?

Your agency may authorize a re-placement POV when:

(a) You require an emergency re-placement POV and you meet the fol-lowing conditions:

(1) You had a POV which was trans-ported to your post of duty at Govern-ment expense; and

(2) You require a replacement POVfor reasons beyond your control and ac-ceptable to your agency, such as whenthe POV is stolen, or seriously dam-aged or destroyed, or has deteriorateddue to conditions at the post of duty;and

(3) Your agency determines in ad-vance of authorization that a replace-ment POV is necessary and in the in-terest of the Government; or

(b) You require a non-emergency re-placement POV and you meet the fol-lowing conditions:

(1) You have a POV which was trans-ported to a post of duty at Governmentexpense;

(2) You have been stationed continu-ously during a 4-year period at one ormore posts of duty; and

(3) Your agency has determined thatit is in the Government’s interest foryou to continue to have a POV at yourpost of duty.

§ 302–10.173 How many replacementPOV’s may my agency authorize meto transport to my post of duty atGovernment expense?

Your agency may authorize oneemergency replacement POV withinany 4-year period of continuous serv-ice. It may authorize one non-emer-gency replacement POV after everyfour years of continuous service begin-ning on the date you first have use ofthe POV being replaced.

§ 302–10.174 What is the ‘‘authorizedpoint of origin’’ when I transport aPOV, including a replacement POV,to my post of duty subsequent tothe time of my assignment to thatpost of duty?

Your agency determines the author-ized point of origin within the UnitedStates.

§ 302–10.175 When I am authorized totransport a POV, including a re-placement POV, to my post of dutysubsequent to the time of my as-signment to that post of duty, may Ihave the manufacturer or the man-ufacturer’s agent transport a newPOV from the factory or other ship-ping point directly to my post ofduty?

Yes, under the same conditions speci-fied in § 302–10.143 of this subpart.

Subpart C—Return Transportationof a POV From a Post of Duty

NOTE TO SUBPART C: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–10.200 When am I eligible fortransportation of a POV from mypost of duty?

You are eligible for return transpor-tation when:

(a) You were transferred to a post ofduty in the interest of the Govern-ment; and

(b) You have a POV at the post ofduty.

[FTR Amdt. 65, 62 FR 13794, Mar. 21, 1997, asamended by FTR Amdt. 69, 63 FR 5742, Feb.4, 1998]

§ 302–10.201 In what situations will myagency pay to transport a POVtransported from my post of duty?

Your agency will pay when:(a) You are transferred back to the

official station (including post of duty)from which you transferred to yourcurrent post of duty;

(b) You are transferred to a new offi-cial station within CONUS;

(c) You are transferred to a new postof duty, where your agency determinesthat use of a POV at that location isnot in the interest of the Government;

(d) You separate from Governmentservice after completion of an agreedperiod of service at the post of dutywhere your agency determined the useof a POV to be in the interest of theGovernment;

(e) You separate from Governmentservice prior to completion of anagreed period of service at the post ofduty where your agency determinedthe use of a POV to be in the interest

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–10.202

of the Government; and the separationis for reasons beyond your control andacceptable to your agency; or

(f) Conditions change at your post ofduty such that use of the POV nolonger is in the interest of the Govern-ment.

[FTR Amdt. 65, 62 FR 13794, Mar. 21, 1997, asamended by FTR Amdt. 69, 63 FR 5743, Feb.4, 1998]

§ 302–10.202 When do I become entitledto transportation of my POV frommy post of duty to an authorizeddestination?

You become entitled when:(a) Your agency determined the use

of a POV at your post of duty was inthe interest of the Government;

(b) You have a POV at your post ofduty; and

(c) You have completed your serviceagreement.

[FTR Amdt. 65, 62 FR 13794, Mar. 21, 1997, asamended by FTR Amdt. 69, 63 FR 5743, Feb.4, 1998]

§ 302–10.203 Is there any circumstanceunder which I may be authorized totransport my POV from a post ofduty before completing my serviceagreement?

Yes. If conditions change at yourpost of duty such that use of your POVno longer is in the interest of the Gov-ernment, or if you separate from Gov-ernment service prior to completion ofyour service agreement for reasons be-yond your control and acceptable toyour agency, your agency may author-ize return transportation to your au-thorized destination. When the returntransportation is based on changedconditions, you still are required tocomplete your service agreement. Ifyou do not, you will be required torepay the transportation costs.

§ 302–10.204 What is the ‘‘authorizedpoint of origin’’ when I transportmy POV from my post of duty?

The last post of duty to which youwere authorized to transport your POVat Government expense.

§ 302–10.205 What is the ‘‘authorizeddestination’’ of a POV transportedunder this subpart?

The ‘‘authorized destination’’ is asfollows:

If—

The authorized destina-tion of the POV you trans-

port at Government ex-pense is—

(a) You are transferred to an offi-cial station within CONUS,

Your official station.

(b)(1) You are transferred to an-other post of duty and use of aPOV at the new post is not inthe interest of the Government;

Your place of actual resi-dence.

(2) You separate from Govern-ment service and are eligiblefor transportation of your POVfrom your post of duty; or

Your place of actual resi-dence.

(3) Conditions change at yourpost of duty such that use ofyour POV no longer is in theinterest of the Government atthat post of duty,

Your place of actual resi-dence.

§ 302–10.206 What should I do if thereis no port or terminal at my author-ized point of origin or authorizeddestination when I transport a POVfrom my post of duty?

Your agency will pay the entire costof transporting the POV from your au-thorized origin to your authorized des-tination. If you prefer, however, youmay choose to drive your POV to theport of embarkation and/or from theport of debarkation. If you choose todrive, you will be reimbursed in thesame manner as an employee coveredunder § 302–10.104.

§ 302–10.207 What will I be reimbursedif I transport my POV from a pointof origin or to a destination that isdifferent from my authorized originor destination?

You will be reimbursed the transpor-tation costs you actually incur, not toexceed what it would have cost totransport your POV from your author-ized origin to the authorized destina-tion.

§ 302–10.208 If I retain my POV at mypost of duty after conditions changeto make use of the POV no longer inthe interest of the Government,may I transport it at Governmentexpense from the post of duty at alater date?

Yes, your agency will pay the trans-portation costs not to exceed the costof transporting it to the authorizeddestination, provided you otherwisemeet all conditions for transportationof a POV.

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Relocation Allowances § 302–10.401

§ 302–10.209 Under what conditionsmay my agency authorize me totransport from my post of duty a re-placement POV purchased at thatpost of duty?

Your agency may authorize transpor-tation only if:

(a) At the time you purchased the re-placement POV, you met the condi-tions in § 302–10.172 of this part; and

(b) Prior to purchase of the replace-ment POV, your agency authorized youto purchase a replacement POV at thepost of duty.

Subpart D—Transportation of aPOV Wholly Within the Con-tinental United States (CONUS)

NOTE TO SUBPART D: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–10.300 When am I eligible fortransportation of my POV whollywithin CONUS at Government ex-pense?

When you are an employee whotransfers within CONUS in the interestof the Government, or you are a newappointee or student trainee relocatingto your first official station withinCONUS.

§ 302–10.301 Under what conditionsmay my agency authorize transpor-tation of my POV wholly withinCONUS?

Your agency will authorize transpor-tation only when:

(a) It has determined that use of yourPOV to transport you and/or your im-mediate family from your old officialstation (or place of actual residence, ifyou are a new appointee or studenttrainee) to your new official stationwould be advantageous to the Govern-ment;

(b) Both your old official station (orplace of actual residence, if you are anew appointee or student trainee) andyour new official station are locatedwithin CONUS; and

(c) Your agency further determinesthat it would be more advantageousand cost effective to the Governmentto transport your POV to the new offi-cial station at Government expenseand to pay for transportation of you

and/or your immediate family by com-mercial means than to have you or animmediate family member drive thePOV to the new official station.

§ 302–10.302 How many POV’s may Itransport wholly within CONUS?

You may transport any number ofPOV’s under this subpart, providedyour agency determines such transpor-tation is advantageous and cost effec-tive to the Government.

§ 302–10.303 If I am authorized totransport my POV wholly withinCONUS, where must the transpor-tation originate?

The POV transportation must origi-nate as follows:

If you are— Your transportation mustoriginate at—

(a) A transferee, Your old official station.(b) A new appointee or stu-

dent trainee,Your place of actual resi-

dence.

§ 302–10.304 If I am authorized totransport my POV wholly withinCONUS, what must the destinationbe?

Your new official station.

Subpart E—Emergency Storage ofa POV

NOTE TO SUBPART E: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–10.400 When am I eligible foremergency storage of my POV?

You are eligible when:(a) Your POV was transported to

your post of duty at Government ex-pense; and

(b) The head of your agency deter-mines that your post of duty is withina zone from which your immediatefamily and/or household goods shouldbe evacuated.

§ 302–10.401 Where may I store myPOV if I receive notice to evacuatemy immediate family and/or house-hold goods from my post of duty?

You may store your POV at a placedetermined to be reasonable by your

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–10.500

agency whether the POV is already lo-cated at, or being transported to, yourpost of duty.

Subpart F—AgencyResponsibilities

NOTE TO SUBPART F: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–10.500 What means of transpor-tation may we authorize for POV’s?

(a) Commercial means if available atreasonable rates and under reasonableconditions; or

(b) Government means on a space-available basis.

§ 302–10.501 How should we admin-ister the allowances for transpor-tation and emergency storage of aPOV?

To minimize costs and to promote anefficient workforce by providing an em-ployee use of his/her POV when it mu-tually benefits the Government and theemployee.

§ 302–10.502 What governing policiesmust we establish for the allow-ances for transportation and emer-gency storage of a POV?

You must establish policies govern-ing:

(a) When you will authorize transpor-tation and emergency storage of aPOV;

(b) When you will authorize transpor-tation of a replacement POV;

(c) Who will determine if transpor-tation of a POV to or from a post ofduty is in the interest of the Govern-ment;

(d) Who will determine if conditionshave changed at an employee’s post ofduty to warrant transportation of aPOV in the interest of the Government;

(e) Who will determine if transpor-tation of a POV wholly within CONUSis more advantageous and cost effec-tive than having the employee drivethe POV to the new official station;and

(f) Who will determine whether toallow emergency storage of an employ-ee’s POV, including where to store thePOV.

§ 302–10.503 Under what conditionmay we authorize transportation ofa POV to a post of duty?

You may authorize transportationonly when you determine, after consid-eration of the factors in § 302–10.504,that it is in the interest of the Govern-ment for the employee to have use of aPOV at the post of duty.

§ 302–10.504 What factors must we con-sider in deciding whether to au-thorize transportation of a POV to apost of duty?

You must consider:(a) Whether local conditions at the

employee’s post of duty warrant use ofa POV;

(b) Whether use of the POV will con-tribute to the employee’s effectivenesson the job;

(c) Whether use of a POV of the typeinvolved will be suitable under localconditions at the post of duty;

(d) Whether the cost of transportingthe POV to and from the post of dutywill be excessive, considering the timethe employee has agreed to serve at thepost of duty.

§ 302–10.505 What must we consider indetermining whether transpor-tation of a POV wholly withinCONUS is cost effective?

(a) Cost of travel by POV.(b) Cost of transporting the POV.(c) Cost of travel if the POV is trans-

ported.(d) Productivity benefit you derive

from the employee’s accelerated arriv-al at the new official station.

PART 302–11—RELOCATIONINCOME TAX (RIT) ALLOWANCE

Sec.302–11.1 Authority.302–11.2 Coverage.302–11.3 Types of moving expenses or allow-

ances covered and general limitations.302–11.4 Exclusions from coverage.302–11.5 Definitions and discussion of terms.302–11.6 Procedures in general.302–11.7 Procedures for determining the

WTA in Year 1.302–11.8 Rules and procedures for determin-

ing the RIT allowance in Year 2.302–11.9 Responsibilities.302–11.10 Claims for payment and support-

ing documentation and verification.302–11.11 Violation of service agreement.

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Relocation Allowances § 302–11.3

302–11.12 Advance of funds.302–11.13 Source references.

APPENDIX A TO PART 302–11—FEDERAL TAX

TABLES FOR RIT ALLOWANCE

APPENDIX B TO PART 302–11—STATE TAX TA-BLES FOR RIT ALLOWANCE

APPENDIX C TO PART 302–11—FEDERAL TAX

TABLES FOR RIT ALLOWANCE—YEAR 2APPENDIX D TO PART 302–11—PUERTO RICO

TAX TABLES FOR RIT ALLOWANCE

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13747, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: 54 FR 20332, May 10, 1989, unlessotherwise noted.

§ 302–11.1 Authority.

Payment of a relocation income tax(RIT) allowance is authorized to reim-burse eligible transferred employeesfor substantially all of the additionalFederal, State, and local income taxesincurred by the employee, or by theemployee and spouse if a joint tax re-turn is filed, as a result of certain trav-el and transportation expenses and re-location allowances which are fur-nished in kind, or for which reimburse-ment or an allowance is provided bythe Government. Payment of the RITallowance also is authorized for incometaxes paid to the Commonwealth ofPuerto Rico, the Commonwealth of theNorthern Mariana Islands, and the U.S.possessions in accordance with a deci-sion of the Comptroller General of theUnited States (67 Comp. Gen. 135(1987)). The RIT allowance shall be cal-culated and paid as provided in thispart.

[FTR Amdt. 30, 58 FR 15437, Mar. 23, 1993]

§ 302–11.2 Coverage.

(a) Eligible employees. Payment of aRIT allowance is authorized for em-ployees transferred on or after Novem-ber 14, 1983, in the interest of the Gov-ernment from one official station toanother for permanent duty. The effec-tive date of an employee’s transfer isthe date the employee reports for dutyat the new official station as providedin § 302–1.4(l).

(b) Individuals not covered. The provi-sions of this part are not applicable tothe following individuals or employees:

(1) New appointees;

(2) Employees assigned under theGovernment Employees Training Act(see 5 U.S.C. 4109); or

(3) Employees returning from over-seas assignments for the purpose ofseparation.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23658, May 23, 1991; FTRAmdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.3 Types of moving expenses orallowances covered and generallimitations.

The RIT allowance is limited by lawas to the types of moving expenses thatcan be covered. The law authorizes re-imbursement of additional incometaxes resulting from certain movingexpenses furnished in kind or for whichreimbursement or an allowance is pro-vided to the transferred employee bythe Government. However, such mov-ing expenses are covered by the RIT al-lowance only to the extent that theyare actually paid or incurred, and arenot allowable as a moving expense de-duction for tax purposes. The types ofexpenses or allowances listed in para-graphs (a) through (i) of this section,are covered by the RIT allowance with-in the limitations discussed.

(a) En route travel. Travel (includingper diem) and transportation expensesof the transferred employee and imme-diate family for en route travel fromthe old official station to the new offi-cial station. (See part 302–2.)

(b) Household goods shipment. Trans-portation (including temporary stor-age) expenses for movement of house-hold goods from the old official stationto the new official station. (See part302–8.)

(c) Nontemporary storage expenses. Al-lowable expenses for nontemporarystorage of household goods belongingto an employee transferred on or afterNovember 14, 1983, through October 11,1984, to an isolated location in the con-tinental United States. (See § 302–9.1.)Nontemporary storage expenses are notcovered by the RIT allowance fortransfers on or after October 12, 1984.(See § 302–11.4(c).)

(d) Mobile home movement. Expensesfor the movement of a mobile home foruse as a residence when movement isauthorized instead of shipment and

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temporary storage of household goods.(See part 302–7.)

(e) Househunting trip. Travel (includ-ing per diem) and transportation ex-penses of the employee and spouse forone round trip to the new official sta-tion to seek permanent residence quar-ters. (See part 302–4.)

(f) Temporary quarters. Subsistenceexpenses of the employee and imme-diate family during occupancy of tem-porary quarters. (See part 302–5.)

(g) Real estate expenses. Allowable ex-penses for the sale of the residence (orexpenses of settlement of an unexpiredlease) at the old official station and forpurchase of a home at the new officialstation for which reimbursement is re-ceived by the employee. (See part 302–6.)

(h) Miscellaneous expense allowance. Amiscellaneous expense allowance forthe purpose of defraying certain ex-penses associated with discontinuing aresidence at one location and establish-ing a residence at the new location inconnection with an authorized or ap-proved permanent change of station.(See part 302–3.)

(i) Relocation services. Payments, orportions thereof, made to a relocationservice company for services providedto a transferred employee (see part 302–12), subject to the conditions stated inthis paragraph and within the generallimitations of this section applicableto other covered expenses.

(1) For employees transferred on or afterNovember 14, 1983, through October 11,1984. The amount of a broker’s fee orreal estate commission, or other realestate sales transaction expenses whichnormally are reimbursable to the em-ployee under § 302–6.2 but have beenpaid by a relocation service companyincident to an assigned sale from theemployee, provided that such paymentsconstitute income to the employee. Forthe purposes of this regulation, an as-signed sale occurs when an employeeobtains a binding agreement for thesale of his/her residence and assigns theinherent rights and obligations of thatagreement to a relocation companythat is providing services under con-tract with the employing agency. Forexample, if the employee incurs an ob-ligation to pay a specified broker’s feeor real estate commission under the

terms of the sales agreement, this obli-gation along with the sales agreementis assigned to the relocation companyand may, upon payment of the obliga-tion by the relocation company, con-stitute income to the employee. (See§ 302–12.7 entitled ‘‘Income tax con-sequences of using relocation compa-nies.’’)

(2) For employees transferred on or afterOctober 12, 1984. Expenses paid by a re-location company providing relocationservices to the transferred employeepursuant to a contract with the em-ploying agency to the extent such pay-ments constitute income to the em-ployee. (See § 302–12.7.)

NOTE: See reference shown in parenthesesfor reimbursement provisions for each allow-ance listed in paragraphs (a) through (i) ofthis section. See section 217 of the InternalRevenue Code (IRC) and Internal RevenueService (IRS) Publication 521 entitled ‘‘Mov-ing Expenses’’ and appropriate State andlocal tax authority publications for addi-tional information on the taxability of mov-ing expense reimbursements and the allow-able tax deductions for moving expenses.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.4 Exclusions from coverage.The provisions of this part are not

applicable to the following:(a) Any tax liability that may result

from payments by the Government torelocation companies on behalf of em-ployees transferred on or after Novem-ber 14, 1983, through October 11, 1984,other than the payments for those ex-penses specified in § 302–11.3(i)(1).

(b) Any tax liability incurred forlocal income taxes other than city in-come tax as a result of moving expensereimbursements for employees trans-ferred on or after November 14, 1983,through October 11, 1984. (See defini-tion in § 302–11.5(b).)

(c) Any tax liability resulting fromreimbursed expenses for any non-temporary storage of household goodsexcept as specifically provided for in§ 302–11.3(c).

(d) Any tax liability resulting frompaid or reimbursed expenses for ship-ment of a privately owned automobile.

(e) Any tax liability resulting froman excess of reimbursed amounts overthe actual expense paid or incurred.

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For instance, if an employee’s reim-bursement for the movement of house-hold goods is based on the commutedrate schedule and his/her actual mov-ing expenses are less than the reim-bursement, the tax liability resultingfrom the difference is not covered bythe RIT allowance. (See § 302–11.8(c)(2)(i).)

(f) Any tax liability resulting froman employee’s decision not to deductmoving expenses for which a tax deduc-tion is allowable under the InternalRevenue Code or appropriate State andlocal tax codes. (See §§ 302–11.8(b)(1) and302–11.8(c)(2).)

(g) Any tax liability resulting fromthe payment of recruitment, retention,or relocation bonuses authorized by theOffice of Personnel Management pursu-ant to 5 U.S.C. 5753 and 5754, or anyother provisions which allow relocationpayments that are not reimbursementsfor travel, transportation, and otherexpenses incurred in relocation.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 17, 56 FR 23658, May 23, 1991; FTRAmdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.5 Definitions and discussionof terms.

For purposes of this part, the follow-ing definitions will apply:

(a) State income tax. A tax, imposedby a State tax authority, that is de-ductible for Federal income tax pur-poses as a State income tax under sec-tion 164(a)(3) of the IRC. ‘‘State’’means any one of the several States ofthe United States and the District ofColumbia.

(b) Local income tax. A tax, imposedby a recognized city or county tax au-thority, that is deductible for Federalincome tax purposes as a local (city orcounty) income tax under section164(a)(3) of the IRC; except, that foremployees transferred on or after No-vember 14, 1983, through October 11,1984, local income tax shall be con-strued to mean only city income tax.For purposes of this regulation:

(1) City means any unit of generallocal government which is classified asa municipality by the Bureau of theCensus, or which is a town or townshipthat in the determination of the Sec-retary of the Treasury possesses pow-ers and performs functions comparable

to those associated with municipali-ties, is closely settled, and containswithin its boundaries no incorporatedplaces as defined by the Bureau of theCensus (31 CFR 215.2(b)(1)).

(2) County means any unit of localgeneral government which is classifiedas a county by the Bureau of the Cen-sus (31 CFR 215.2(e)).

(c) Covered moving expense reimburse-ments or covered reimbursements. As usedherein, these terms include those mov-ing expenses listed in § 302–11.3 as beingcovered by the RIT allowance andwhich may be furnished in kind, or forwhich reimbursement or an allowanceis provided by the Government.

(d) Covered taxable reimbursements.Covered moving expense reimburse-ments minus the tax deductions allow-able under the IRC and IRS regulationsfor moving expenses. (See determina-tion in § 302–11.8(c).)

(e) Year 1 or reimbursement year. Thecalendar year in which reimbursementor payment for moving expenses ismade to, or for, the employee under theprovisions of this part. All or part ofthese reimbursements (see § 302–11.6)are reported to the IRS as income(wages, salary, or other compensation)to the employee for that tax yearunder the provisions of the IRC andIRS regulations, and are subject toFederal tax withholding. The withhold-ing tax allowance (WTA) (see para-graph (f)(1) of this section) is cal-culated in Year 1, to cover the employ-ee’s Federal tax withholding obliga-tions each time covered moving ex-pense reimbursements are made thatresult in a Federal tax withholding ob-ligation. For purposes of this part, anadvance of funds for any of the coveredmoving expenses is not considered tobe a reimbursement or a payment untilthe travel voucher settlement for suchexpenses takes place. If an employee’sreimbursement for moving expenses isspread over more than one year, he/shewill have more than one Year 1.

(f) Year 2. The calendar year in whicha claim for the RIT allowance is paid.

(1) Generally, Year 2 will be the cal-endar year immediately following Year1 and in which the employee files a taxreturn reflecting his/her tax liabilityfor income received in Year 1. However,

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there may be instances where the em-ployee’s claims submission and/or pay-ment of the RIT allowance is delayedbeyond the calendar year immediatelyfollowing Year 1. (Year 1 will always bethe calendar year that reimbursementsare received; see paragraph (e) of thissection.) Year 2 will be the calendaryear in which the RIT allowance is ac-tually paid.

(2) The RIT allowance is calculatedin Year 2 and paid to cover the addi-tional tax liability (resulting frommoving expense reimbursements re-ceived in Year 1) not covered by theWTA paid in Year 1. If an employee’scovered taxable reimbursements arespread over more than one year, he/shewill have more than one Year 2.

(g) Federal withholding tax rate(FWTR). The tax rate applied to incre-mental income to determine theamount to be withheld for Federal in-come tax from salary or other com-pensation such as moving expense re-imbursements. Because moving ex-pense reimbursements constitute sup-plemental wages for Federal incometax purposes, the 20 percent flat rate ofwithholding is generally applicable tosuch reimbursements. (See § 302–11.7(c).) Agencies should refer to theTreasury Financial Manual, TFM 3–5000, and applicable IRS regulations forcomplete and up-to-date informationon this subject.

(h) Earned income. For purposes of theRIT allowance, ‘‘earned income’’ shallinclude only the gross compensation(salary, wages, or other compensationsuch as reimbursement for moving ex-penses and the related WTA (see para-graph (n) of this section) and any RITallowance (see paragraph (m) of thissection) paid for moving expense reim-bursement in a prior year) that is re-ported as income on IRS Form W–2 forthe employee (employee and spouse, iffiling jointly), and if applicable, thenet earnings (or loss) for self-employ-ment income shown on Schedule SE ofthe IRS Form 1040. Earned income maybe from more than one source. (See§ 302–11.8(d).)

(i) Marginal tax rate (MTR). The taxrate (for example, 33 percent) applica-ble to a specific increment of income.The Federal, Puerto Rico, and Statemarginal tax rates to be used in cal-

culating the RIT allowance are pro-vided in appendices A through D of thispart. (See § 302–11.8(e)(3) of this part forinstructions on local marginal tax ratedeterminations.)

(j) Combined marginal tax rate (CMTR).A single rate determined by combiningthe applicable marginal tax rates forFederal (or Puerto Rico, when applica-ble), State, and local income taxes,using formulas provided in § 302–11.8(e)(5).

(k) Gross-up. Payment for the esti-mated additional income tax liabilityincurred by an employee as a result ofreimbursements or payments by theGovernment for the covered moving ex-penses listed in § 302–11.3.

(l) Gross-up formulas. The formulasused to determine the amount of thegross-up for the WTA and the RIT al-lowance. The gross-up formulas usedherein compensate the employee forthe initial tax, the tax on tax, etc.Note that the WTA gross-up formula in§ 302–11.7(d) is different than the RITgross-up formula prescribed in § 302–11.8(f).

(m) RIT allowance. The amount ofpayment computed and paid in Year 2to cover substantially all of the esti-mated additional tax liability incurredas a result of the covered moving ex-pense reimbursements received in Year1.

(n) Withholding tax allowance (WTA).The withholding tax allowance (WTA),paid in Year 1, covers the employee’sFederal income tax withholding liabil-ity on covered taxable reimbursementsreceived in Year 1. The amount is com-puted by applying the withholdinggross-up formula prescribed in § 302–11.7(d) (using the Federal withholdingtax rate) each time that a Federalwithholding obligation is incurred oncovered moving expense reimburse-ments received in Year 1. Grossing-upthe Federal withholding amount pro-tects the employee from using part ofhis/her moving expense reimbursementto pay Federal withholding taxes. (See§ 302–11.7.)

(o) State gross-up. Payment for the es-timated additional State income tax li-ability incurred by an employee as aresult of reimbursements or paymentsby the Government for the coveredmoving expenses listed in § 302–11.3 that

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are deductible for Federal income taxbut not for State income tax purposes.

(p) State gross-up formula. The for-mula prescribed in § 302–11.8(f)(3) to beused in determining the amount to beincluded in the RIT allowance to com-pensate an employee for the additionalState income tax incurred in Statesthat do not allow the deduction ofmoving expenses.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 14, 56 FR 9290, Mar. 6, 1991; FTRAmdt. 26, 57 FR 28636, June 26, 1992; FTRAmdt. 30, 58 FR 15437, Mar. 23, 1993; FTRAmdt. 32, 58 FR 58244, Oct. 29, 1993]

§ 302–11.6 Procedures in general.(a) This regulation sets forth proce-

dures for the computation and pay-ment of the RIT allowance and definesagency and employee responsibilities.This part does not require changes tothose internal fiscal procedures estab-lished by the individual agencies pursu-ant to IRS regulations, or the TreasuryFinancial Manual, provided that theintent of the statute authorizing theRIT allowance and this part are notdisturbed.

(b) The total amount reimbursed orpaid to the employee, or on his/her be-half, for travel, transportation, andother relocation expenses and allow-ances is includable in the employee’sgross income pursuant to the IRC andcertain State or local government taxcodes. Some moving expenses for whichreimbursements are received may bededucted from income by the employeeas moving expense deductions, subjectto certain limitations prescribed by theIRS or pertinent State or local tax au-thorities. Reimbursements for non-deductible moving expenses are subjectto income tax. (See IRS Publication 521entitled ‘‘Moving Expenses’’ and theappropriate State and local tax codesfor detailed information.)

(c) Usually, if the employee is reim-bursed for nondeductible moving ex-penses, the amount of these reimburse-ments is subject to withholding of Fed-eral income tax in accordance with IRSregulations at the time of reimburse-ment. Under existing fiscal procedures,the amount of the employee’s with-holding obligation is usually deductedeither from reimbursements for themoving expenses at the time of reim-

bursement or from the employee’s sal-ary. (See Treasury Financial Manual.)

(d) Payment of a WTA establishedherein will offset deductions for theFederal income tax withholding onmoving expense reimbursements, andon the WTA itself, from the employee’smoving expense reimbursements orfrom salary.

(e) The total amount of the RIT al-lowance can be computed after the endof Year 1 as soon as the earned incomelevel, income tax filing status, totalcovered taxable reimbursements, andthe applicable marginal tax rates canbe determined. Employee claims forthe RIT allowance should be submittedin accordance with this part and theemploying agency’s procedures.

(f) Procedures are prescribed in §§ 302–11.7 and 302–11.8 for computation andpayment of the WTA and the RIT al-lowance. These procedures are built onexisting fiscal procedures and IRS reg-ulations regarding reporting of em-ployee income from reimbursementsand withholding of taxes on supple-mental wages.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.7 Procedures for determiningthe WTA in Year 1.

(a) General rules. The WTA is de-signed to cover only the employee’swithholding tax obligation for Federalincome taxes on income resulting fromcovered moving expense reimburse-ments. (See definition in § 302–11.5(c).)Other withholding tax obligations, ifany, such as for social security taxes orfor State and/or local income taxes onincome resulting from moving expensereimbursements shall not be includedin the calculation of the WTA pay-ment. The amount of the WTA is equalto the Federal income tax withholdingobligation incurred by the employee oncovered moving expense reimburse-ments (which are not offset by deduct-ible moving expenses) and on the WTAitself. Each time covered moving ex-pense reimbursements are paid to or onbehalf of the employee, the WTA shallbe calculated, accounted for, and re-ported as provided in paragraphs (b)through (g) of this section.

(b) Determination of amount of reim-bursement subject to withholding. Under

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IRS regulations, income resulting fromreimbursements for nondeductiblemoving expenses is subject to with-holding of Federal income taxes. (SeeIRS Publication 521, ‘‘Moving Ex-penses.’’) There are some moving ex-penses which may be reimbursed butare not covered taxable reimburse-ments (see definition in § 302–11.5(d)) forpurposes of the WTA and RIT allow-ance calculations, such as non-temporary storage of household goods.(See exclusions in § 302–11.4.) Therefore,the actual amount of the covered tax-able reimbursements may be differentthan the amount of nondeductible mov-ing expenses subject to Federal incometax withholding. The difference inthese amounts should not be substan-tial; therefore, the amount of non-deductible moving expenses subject toFederal income tax withholding, as de-termined by the agency pursuant toIRS regulations, may be used in cal-culating the WTA. (Note that the RITcalculation procedure in § 302–11.8 re-quires determination of covered tax-able reimbursements.)

(c) Determination of Federal withhold-ing tax rate (FWTR). Moving expense re-imbursements constitute supplementalwages for Federal income tax purposes.Therefore, an agency must withhold atthe withholding rate applicable to sup-plemental wages. Currently, the sup-plemental wages withholding rate is 28percent. The supplemental wages with-holding rate should be used in calculat-ing the WTA unless under an agency’swithholding procedures a differentwithholding rate is used pursuant toIRS tax regulations. In such cases, theapplicable withholding rate shall besubstituted for the supplemental wageswithholding rate in the calculationshown in paragraph (d) of this section.

(d) Calculation of the WTA. The WTAis calculated by substituting theamounts determined in paragraphs (b)and (c) of this section into the follow-ing WTA gross-up formula:

Formula:

YX

XN=

−( )

1Where:Y = WTAX = FWTR (generally, 28 percent)

N = nondeductible moving expenses/cov-ered taxable reimbursements

Example:If:X = 28 percentN = $20,000Then:

Y =−

( ).

.$20,

28

1 28000

Y = .3889($20,000)Y = $7778.00

(e) WTA payment and employee agree-ment for repayment. (1) The WTA maybe calculated several times withinYear 1 if reimbursements for movingexpenses are made on more than onetravel voucher. Each time an employeeis reimbursed for moving expenseswhich are subject to Federal tax with-holding in accordance with the IRSregulations, the WTA will be cal-culated and paid unless the employeefails to comply with the requirementsin paragraph (e)(2) of this section.

(2) The employee shall be required toagree in writing to repay any excessamount paid to him/her in Year 1 (see§§ 302–11.8(f)(5) and 302–11.9(b)(3)), andsubmit the required certified tax infor-mation and claim for his/her RIT al-lowance within a reasonable length oftime (as determined by the agency)after the close of Year 1. Failure of theemployee to comply with this require-ment will preclude the agency’s pay-ment of the WTA. The entire WTA willbe considered an excess payment if theRIT allowance claim is not submittedin a timely manner to settle the RITallowance account.

(f) Determination of employee’s with-holding tax on WTA. Since the amountof the WTA is considered income to theemployee, it is subject to the same taxwithholding requirements as all othermoving expense reimbursements. (SeeTreasury Financial Manual, Section4080, Moving Expense Reimbursements,for withholding requirements.)

(g) End of year reporting. At the end ofthe year, agencies generally are re-quired to issue IRS Form(s) W–2 foreach employee showing total grosscompensation (including moving ex-pense reimbursements) and the appli-cable amount of Federal taxes with-held. For tax reporting purposes, the

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WTA is to be treated as a moving ex-pense reimbursement. The totalamount of the employee’s WTA’s paidduring the year as well as the amountof moving expense reimbursementsshould be included as income on theemployee’s Form W–2. The Federal taxwithholding amount applicable to themoving expense reimbursements andthe WTA should also be included on theemployee’s Form W–2. The amount ofthe WTA’s also will be furnished to theemployee along with the amount ofmoving expense reimbursements onIRS Form 4782 or another itemized list-ing provided for the employee’s use inpreparing his/her tax return (see IRSregulations for further guidance) andin claiming the RIT allowance as pro-vided in § 302–11.8.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 14, 56 FR 9290, Mar. 6, 1991; FTRAmdt. 58, 62 FR 10709, Mar. 10, 1997]

§ 302–11.8 Rules and procedures fordetermining the RIT allowance inYear 2.

(a) Summary/overview of procedures.The RIT allowance will be calculatedand claimed in Year 2. This can be ac-complished as soon as the employeecan determine earned income (as de-fined herein), income tax filing status,covered taxable reimbursements forYear 1, and the applicable marginal taxrates. The RIT allowance is then cal-culated using the gross-up formulaunder procedures prescribed herein.Since the RIT allowance is consideredincome, appropriate withholding taxeson the RIT allowance are deducted andthe balance constitutes the net pay-ment to the employee. Rules, proce-dures, and the prescribed tax tables forthese calculations are provided in para-graphs (b) through (g) of this section,and in appendices A, B, and C of thispart.

(b) General rules and assumptions. (1)The procedures prescribed herein forcalculations and payment of the RITallowance are based on certain assump-tions jointly developed by GSA andIRS, and tax tables developed by IRS.This approach avoids a potentially con-troversial and administratively bur-densome procedure requiring the em-ployee to furnish extensive documenta-tion, such as certified copies of actual

tax returns and reconstructed returns,in support of a claim for a RIT allow-ance payment. Specifically, the follow-ing assumptions have been made:

(i) The employee will claim allowablemoving expense deductions for thesame tax year in which the correspond-ing moving expense reimbursementsare included in income;

(ii) Changes to the IRC, applicable tothe 1987 and subsequent tax years, re-quire that allowable moving expensedeductions must be taken as anitemized deduction from gross incomerather than as an adjustment to grossincome as in previous tax years. It isassumed that employees will receivethe benefit of allowable moving ex-pense deductions to offset income ei-ther by itemizing their moving expensedeductions or through the increasedstandard deductions.

(iii) Prior to the Tax Reform Act of1986, it was assumed that the employ-ee’s (and spouse’s, if a joint return isfiled) earned income, filing status, andCMTR determined for Year 1 (and usedin determining the RIT allowance inYear 2) would remain the same orwould not be substantially different inthe second and subsequent tax years.However, the Tax Reform Act of 1986substantially changed the Federal taxstructure making it necessary to com-pute a separate CMTR for Year 1 andfor Year 2. (See paragraph (e) of thissection.) The formula for calculatingthe RIT allowance to be paid in 1988and subsequent years is shown in para-graph (f) of this section. It is assumedthat within the accuracy of the cal-culation, the State and local tax ratesfor Year 1 and Year 2 will remain thesame or will not be substantially dif-ferent. Therefore, the State and localtax rates for Year 1 shall be used incalculating the CMTR for Year 2.

(2) The prescribed procedures, whichyield an estimate of an employee’s ad-ditional tax liability due to moving ex-pense reimbursements, are to be useduniformly. They are not to be adjustedto accommodate an employee’s uniquecircumstance which may differ fromthe assumed circumstances stated inparagraph (b)(1) of this section.

(3) An adjustment of the RIT allow-ance paid in Year 2 for the covered tax-able reimbursements received in Year 1

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is required if the tax information cer-tified to on the RIT allowance claim isdifferent than that shown on the actualFederal tax return filed with IRS forYear 1 or changed for any reason afterfiling of the tax return, so as to affectthe CMTR’s used in the RIT allowancecalculation. (See § 302–11.10 for claimsprocedures.)

(c) Determination of covered taxable re-imbursements. (1) Generally, the amountof the covered taxable reimbursementsis the difference between (i) theamount of covered moving expense re-imbursements for the allowances listedin § 302–11.3 that was included in theemployee’s income in Year 1, and (ii)the maximum amount of allowablemoving expenses that may be claimedas a moving expense deduction by theemployee on his/her Federal tax returnunder IRS tax regulations to offset theincome resulting from moving expensereimbursements for Year 1. The cov-ered taxable reimbursements will bedetermined as if the employee haditemized and deducted all allowablemoving expense deductions. (See as-sumption made in paragraph (b)(1)(ii)of this section.) If the employee is pre-cluded from claiming moving expensedeductions because he/she does notmeet IRS requirements for the distancetest, then the amount of covered tax-able reimbursements is the same as theamount of covered moving expense re-imbursements. (See § 302–11.5(d).)

(2) For purposes of calculating theRIT allowance, the following specialrules apply to the determination ofmoving expense deductions to offsetmoving expense reimbursements re-ported as income:

(i) The total amount of reimburse-ment (which was reported as income)for the expenses of en route travel forthe employee and family (see § 302–11.3(a)) and transportation (includingup to 30 days temporary storage) ofhousehold goods (see § 302–11.3(b)) tothe new official station shall be used asa moving expense deduction. (See also§ 302–11.4 (e) and (f).)

(ii) The total amount of reimburse-ment for a househunting trip, tem-porary quarters (up to 30 days at newstation) and real estate transaction ex-penses (see § 302–11.3 (e), (f), (g), and (i)),up to the maximum allowable deduc-

tion under IRS tax regulations, shallbe used as a moving expense deduction.For example, an employee and spousefiling a joint return and residing in thesame household at the end of the taxyear may deduct up to $3,000 for theseexpenses. (No more than $1,500 of the$3,000 may be claimed for ahousehunting trip and temporary quar-ters expenses combined.) If the em-ployee was reimbursed $1,350 for ahousehunting trip and temporary quar-ters expenses and $9,000 for real estateexpenses, the moving expense deduc-tions would be $1,350 for thehousehunting trip and temporary quar-ters expenses and $1,650 for real estateexpenses. If the employee’s reimburse-ment was $1,850 for the househuntingtrip and temporary quarters expensesand $9,000 for real estate expenses, themoving expense deductions would be$1,500 for the househunting trip andtemporary quarters expenses and $1,500for real estate expenses. If the em-ployee had no reimbursement for ahousehunting trip and temporary quar-ters, the full $3,000 would be applied tothe $9,000 reimbursement for real es-tate expenses. (See IRS Publication521, ‘‘Moving Expenses,’’ for these andother maximums which vary by situa-tion and filing status.)

(3) Procedures and examples are pro-vided herein as if all moving expensereimbursements are received in oneyear with all moving expense deduc-tions applied in that same year to ar-rive at the covered taxable reimburse-ments. However, when reimbursementsspan more than one year, the amountof covered taxable reimbursementsmust be determined separately for eachreimbursement year (Year 1). The max-imum moving expense deductionsapply to the entire move. Under IRStax regulations, the employee has somediscretion as to when he/she claimsthese deductions (e.g., in the year ofthe move when the expense was paid orin the year of reimbusement, if theseactions do not occur in the same year).However, for purposes of the RIT allow-ance procedures, the moving expensedeductions will be applied in the yearthat the corresponding reimbursementis made. For example, if an employeeincurred and was reimbursed $1,000 fora househunting trip and temporary

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quarters in 1989 and an additional $1,000for temporary quarters in 1990, this em-ployee, according to his/her particularsituation and tax filing status, may de-duct $1,500 of these expenses in movingexpense deductions. In calculating theRIT allowance for 1989, $1,000 of the$1,500 deduction is used to offset the$1,000 reimbursement in 1989 resultingin zero covered taxable reimburse-ments for the househunting trip andtemporary quarters for 1989. The re-maining $500 (balance of the $1,500 notused in determining covered taxable re-imbursements for 1989) will be used tooffset the $1,000 temporary quarters re-imbursement in 1990 (second Year 1),leaving $500 of the temporary quartersreimbursement as a covered taxable re-imbursement for 1990.

(4) Although the WTA amount is in-cluded in income (see § 302–11.7), it shallnot be included in the amount of cov-ered taxable reimbursements. Underthe procedures and formulas estab-lished herein, the proper amount of theRIT allowance is calculated using theRIT gross-up formula with the WTAand any prior RIT allowance paymentsexcluded from covered taxable reim-bursements.

(5) Agencies are cautioned that theremay be moving expenses reimbursed tothe employee that are not covered bythe RIT allowance. (See exclusions in§ 302–11.4; also see discussion in § 302–11.7 regarding covered taxable reim-bursements versus nondeductible ex-penses.)

(d) Determination of income level andfiling status. In order to determine theCMTR’s needed to calculate the RIT al-lowance, the employee must determinethe appropriate amount of earned in-come (as prescribed herein) that was orwill be reported on his/her Federal taxreturn for the tax year in which thecovered taxable reimbursements werereceived (Year 1). Such amount willalso include the spouse’s earned incomeif a joint filing status is claimed. Forpurposes of this regulation, appropriateearned income shall include only theamount of gross compensation reportedon IRS Form(s) W–2, and, if applicable,the net earnings (or loss) from self-em-ployment income as shown on ScheduleSE of IRS Form 1040. (See § 302–11.5(h).)(Note that moving expense reimburse-

ments including the WTA amounts andany RIT allowance paid for a priorYear 1 are to be included in earned in-come and should be shown as incomeon the Form W–2; if they are not, otherappropriate documentation shall befurnished by the agency.) (See § 302–11.7(g).) The amount of earned incomeas determined under this paragraphand the tax filing status (for example,from lines 1 through 5 on the 1987 IRSForm 1040) shall be contained in a cer-tified statement on, or attached to, thevoucher claiming the RIT allowance.(See § 302–11.10.) If a joint filing statusis claimed and the spouse’s earned in-come is included, the spouse must signthe certified statement. If the spousedoes not sign the statement, earned in-come will include only the employee’searned income and the RIT allowancewill be calculated on that basis. Thiscondition will not apply if an employeeis allowed, under IRS rules, to file ajoint return as a surviving spouse.

(e) Determination of the CMTR’s. Thegross-up formula used to calculate theRIT allowance in paragraph (f) of thissection, requires the use of twoCMTR’s—one for Year 1 in which reim-bursements were received and theother for Year 2 in which the RIT al-lowance is paid. CMTR’s are single taxrates calculated to represent the Fed-eral, State, and/or local income taxrates applicable to the earned incomedetermined for Year 1. (See paragraph(d) of this section.) The CMTR’s will bedetermined as follows:

(1) Federal marginal tax rates. TheFederal marginal tax rates for Year 1and Year 2 are determined by using theincome level and filing status deter-mined under paragraph (d) of this sec-tion and contained in the certifiedstatement by the employee (or em-ployee and spouse) on the RIT allow-ance claim, and applying the pre-scribed Federal tax tables contained inappendices A and C of this part. For ex-ample, if the income level for the 1989tax year (Year 1) was $84,100 for a mar-ried employee filing a Federal joint re-turn, the Federal marginal tax ratewould be 33 percent for Year 1 (1989)(see appendix A of this part) and 28 per-cent for Year 2 (1990) (see appendix C ofthis part). These rates would be usedregardless of how much of the $84,100

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was attributable to reimbursement forthe employee’s relocation expenses.

NOTE: These marginal rates are differentfrom the withholding tax rate used for WTA.

If the employee incurs only Federal in-come tax (i.e., there are no State orlocal taxes), the Federal marginal taxrates determined from appendices Aand C of this part are the CMTR’s to beused in the RIT gross-up formula pro-vided in § 302–11.8(f). In such cases, theprovisions of paragraphs (e) (2) and (3)of this section do not apply.

(2) State marginal tax rate. (i) If theemployee incurs an additional Stateincome tax (see definition in § 302–11.5(a)) liability as a result of movingexpense reimbursements, the appro-priate State tax table in appendix B ofthis part is to be used to determine theapplicable State marginal tax rate thatwill be substituted into the formula fordetermining the CMTR for both Year 1and Year 2. The appropriate State taxtable will be the one that correspondsto the tax year in which the reimburse-ments are paid to the employee (Year1). The income level determined inparagraph (d) of this section for Fed-eral taxes shall be used to identify theappropriate income bracket in theState tax table. The applicable Statemarginal tax rate is obtained from theselected income bracket column for theState where the employee is requiredto pay State income tax on moving ex-pense reimbursements. The tax ratesshown in the table apply to all employ-ees regardless of their filing status, ex-cept where a separate rate is shown fora single filing status.

(ii) The lowest income bracket shownin the State tax tables in appendix B ofthis part is $20,000–$24,999. In caseswhere the employee’s (employee’s andspouse’s, if filing jointly) earned in-come as determined under paragraph(d) of this section is less than this in-come bracket, an appropriate Statemarginal tax rate shall be establishedby the employing agency from the ap-plicable State tax code or regulationsissued pursuant thereto. Such Statemarginal tax rate shall be representa-tive of the earned income level in ques-tion but in no case more than the mar-ginal tax rate established in appendixB of this part for the $20,000–$24,999 in-

come bracket for the particular Statein which an additional tax obligationhas been incurred.

(iii) The prescribed State marginaltax rates generally are expressed as apercent of taxable income. However, ifthe applicable State marginal tax rateis stated as a percentage of the Federalincome tax liability, the State tax ratemust be converted to a percent of tax-able income to be used in the CMTRformulas in paragraph (e)(5) of this sec-tion. This is accomplished by multiply-ing the applicable Federal tax rate forYear 1 by the applicable State tax rate.For example, if the Federal tax rate is33 percent for Year 1 and the State taxrate is 25 percent of the Federal incometax liability, the State tax rate statedas a percent of taxable income wouldbe 8.25 percent. The State tax rate thusdetermined for Year 1 will be used indetermining the CMTR for both Year 1and Year 2.

(iv) An employee may incur a Stateincome tax liability on moving expensereimbursements in more than oneState at the same or different marginaltax rates (i.e., double taxation). For ex-ample, an employee may incur taxes onmoving expense reimbursements in oneState because of residency in thatState, and in another State becausethat particular State taxes incomeearned within its jurisdiction irrespec-tive of whether the employee is a resi-dent. In such cases, a single State mar-ginal tax rate must be determined foruse in the CMTR formulas in paragraph(e)(5) of this section. The general rulesin paragraph (e)(2)(iv) (A) through (C)of this section apply in determiningthe applicable single State marginaltax rate in such cases.

(A) If two or more States impose anincome tax on an employee’s movingexpense reimbursement, but no twoStates tax the same portion of the re-imbursement, then the reimbursementis not subject to double taxation. Inthis situation, the average of the appli-cable State marginal tax rates, as de-termined under paragraphs (e)(2) (i)through (iii) of this section, shall betreated as being imposed on the entirereimbursement, and shall be used inthe CMTR formula.

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(B) If two or more States impose anincome tax on the moving expense re-imbursement, and more than one Statetaxes the same portion of the reim-bursement, but those States allow anadjustment or credit for income taxespaid to the other State(s), then the re-imbursement is not subject to doubletaxation. In this situation, the highestof the applicable State marginal taxrates, as determined under paragraphs(e)(2) (i) through (iii) of this section,shall be used in the CMTR formula.

(C) If two or more States impose anincome tax on the moving expense re-imbursement, and more than one Statetaxes the same portion of the reim-bursement without allowing an adjust-ment or credit for income taxes paid tothe other, then the reimbursement issubject to double taxation. In this situ-ation, the sum of the applicable Statemarginal tax rates, as determinedunder paragraphs (e)(2) (i) through (iii)of this section, shall be used in theCMTR formula.

(3) Local marginal tax rate. Because ofthe impracticality of establishing asingle marginal tax rate table for localincome taxes that could be applied uni-formly on a nationwide basis, appro-priate local marginal tax rates shall bedetermined as provided in paragraphs(e)(3) (i) through (iii) of this section.

(i) If the employee incurs an addi-tional local income tax (see definition§ 302–11.5(b)) liability as a result ofmoving expense reimbursements, he/she shall certify to such fact whenclaiming the RIT allowance (see cer-tification statement in § 302–11.10) byspecifying the name of the locality im-posing the income tax and the applica-ble marginal tax rate determined fromthe actual marginal tax rate table orschedule prescribed by the taxing lo-cality. The marginal tax rate shall bethe one applicable to the taxable in-come portion of the amount of earnedincome determined under paragraph (d)of this section for the employee (andspouse, if filing jointly). The same taxrate shall be used in calculating theCMTR for both Year 1 and Year 2. Theemploying agency shall establish pro-cedures to determine whether the em-ployee-certified local marginal tax rateis appropriate for the employee’s in-come level and filing status and ap-

prove its use in the CMTR formulas.(See also § 302–11.10(b)(2).)

(ii) If the local marginal tax rate isstated as a percentage of Federal orState income tax liability, such ratemust be converted to a percent of tax-able income for use in the CMTR for-mulas. This is accomplished by mul-tiplying the applicable Federal orState tax rate for Year 1 as determinedin paragraph (e) (1) or (2) of this sectionby the applicable local tax rate. Forexample, if the State tax rate for Year1 is 6 percent and the local tax rate is50 percent of State income tax liabil-ity, the local tax rate stated as a per-centage of taxable income would be 3percent. The local tax rate thus deter-mined for Year 1 will be used in deter-mining the CMTR for both Year 1 andYear 2.

(iii) The situations described in para-graph (e)(2)(iv) of this section with re-spect to State income taxes may alsobe encountered with local incometaxes. If such situations do occur, therules prescribed for determining thesingle State marginal tax rate shallalso be applied to determine the singlelocal marginal tax rate for use in theCMTR formulas.

(4) Marginal tax rates for the Common-wealth of Puerto Rico, the Commonwealthof the Northern Mariana Islands, and theU.S. possessions—(i) The Commonwealthof Puerto Rico. A Federal employee whois relocated to or from a point, or be-tween points, in the Commonwealth ofPuerto Rico may be subject to incometax on the employee’s salary (includingmoving expense reimbursements) byboth the U.S. Government and the gov-ernment of Puerto Rico. However,under the current law of Puerto Rico,such employee receives a credit on his/her Puerto Rico income tax for theamount of taxes paid to the UnitedStates. The rules in paragraphs (e)(4)(i)(A) through (C) apply in determiningthe marginal tax rate applicable fortransfers to, from, or between points inPuerto Rico.

(A) The applicable Puerto Rico mar-ginal tax rate shall be determined byusing the income level determined inparagraph (d) of this section for Fed-eral taxes and the employee’s filingstatus. The Puerto Rico marginal tax

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rate for Year 1 will be used in comput-ing the CMTR for both Year 1 and Year2. The Puerto Rico tax tables are con-tained in appendix D of this part.

(B) If the applicable Puerto Ricomarginal tax rate is higher than theapplicable Federal marginal tax rate,then the total amount of taxes paid bythe employee to both jurisdictions isequal to the employee’s total incometax liability to the Commonwealth ofPuerto Rico before any credit is givenfor taxes paid to the United States.The Federal marginal tax rate, there-fore, is of no consequence and will bedisregarded. In such cases, the formulain paragraph (e)(5)(iii) of this sectionwill be used to compute the CMTR. TheCMTR formula shall include only thePuerto Rico marginal tax rate, theState marginal tax rate as determinedunder paragraph (e)(2) of this section(when applicable), and the local mar-ginal tax rate as determined underparagraph (e)(3) of this section. Forpurposes of applying the Puerto RicoCMTR formula in paragraph (e)(5)(iii)of this section, the State marginal taxrate will be applicable if both PuertoRico and one or more of the States im-pose an income tax on the moving ex-pense reimbursement, and more thanone of these entities taxes the sameportion of the reimbursement withoutallowing an adjustment or credit forincome taxes paid to the other. In thissituation, the S component of theCMTR formula will be the applicableState marginal tax rate as determinedunder paragraph (e)(2) of this section.

(C) If the applicable Puerto Ricomarginal tax rate is equal to or lowerthan the applicable Federal marginaltax rate, then the total amount oftaxes paid by the employee to both ju-risdictions is equal to the employee’stotal Federal income tax liability. ThePuerto Rico marginal tax rate, there-fore, is of no consequence in such casesand will be disregarded. The CMTR willbe computed using the formula in para-graphs (e)(5) (i) and (ii) of this section.This formula will include the Federalmarginal tax rate as determined underparagraph (e)(1) of this section, theState marginal tax rate as determinedunder paragraph (e)(2) of this section(when applicable), and the local mar-ginal tax rate as determined under

paragraph (e)(3) of this section. TheState marginal tax rate will be appli-cable if one or more States impose taxon the moving expense reimbursement.

(ii) The Commonwealth of the NorthernMariana Islands and the U.S. possessions.A Federal employee who is relocated toor from a point, or between points, inthe Commonwealth of the NorthernMariana Islands or the U.S. possessions(Guam, American Samoa, and the U.S.Virgin Islands) is subject to both Fed-eral income tax and income tax as-sessed by the Commonwealth of theNorthern Mariana Islands or the U.S.possession, as applicable. However, theincome tax system and rates for theCommonwealth of the Northern Mari-ana Islands and for the U.S. possessionsare identical to the U.S. Federal in-come tax system and rates. This con-stitutes a ‘‘mirror tax’’ system. A taxcredit or exclusion is provided by oneof the taxing jurisdictions (either theU.S., the Commonwealth of the North-ern Mariana Islands, or the U.S. posses-sion, as appropriate) to prevent doubletaxation. The marginal tax rate for theCommonwealth of the Northern Mari-ana Islands or the U.S. possession,therefore, is of no consequence since itis identical to the Federal marginal in-come tax rate and is completely offsetby a corresponding credit or exclusion.Thus, the Commonwealth’s or the pos-session’s tax rate will not be factoredinto the CMTR formula. The CMTRwill be computed as provided in para-graphs (e)(5) (i) and (ii) based solely onthe Federal marginal tax rate; whenapplicable, the State(s) marginal taxrate; and the local marginal tax rate.

(5) Calculation of the CMTR’s. As stat-ed above, the gross-up formula for cal-culating the RIT allowance requiresthe use of two CMTR’s. However, therequired CMTR’s cannot be calculatedby merely adding the Federal, State,and local marginal tax rates togetherbecause of the deductibility of Stateand local income taxes from income forFederal income tax purposes. TheState tax tables prescribed in appendixB of this part are designed to use thesame income amount as that deter-mined for the Federal taxes, which re-flects, among other things, State andlocal tax deductions. The formulas pre-scribed below for calculating the

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Relocation Allowances § 302–11.8

CMTR’s are designed to adjust theState and local tax rates to com-pensate for their deductibility from in-come for Federal tax purposes.

(i) Calculation of the CMTR for Year 1.The following formula shall be used tocalculate the CMTR for Year 1.

CMTR Formula: X = F + (1 ¥ F)S + (1 ¥ F)L

Where:

X = CMTR for Year 1F = Federal tax rate for Year 1S = State tax rate for Year 1L = Local tax rate for Year 1

(A) Federal, State, and local taxes in-curred. If the employee incurs Federal,State, and local income taxes on mov-ing expense reimbursements, theCMTR formula may be solved as fol-lows:

Example:If:

F=33 percent of incomeS=6 percent of incomeL=3 percent of income

Then:X=.33+(1.00¥.33).06+(1.00¥.33).03X=.3903

(B) Federal and State income taxesonly. If the employee incurs tax liabil-ity on moving expense reimbursementsfor Federal and State income taxes butnone for local income tax, the value of‘‘L’’ is zero and the CMTR formula maybe solved as follows:

Example:If:

F=33 percent of incomeS=6 percent of incomeL=Zero

Then:X=.33+(1.00¥.33).06X=.3702

(C) Federal and local income taxes only.If the employee incurs a tax liabilityon moving expense reimbursements forFederal and local income taxes butnone for State income tax, the value of‘‘S’’ is zero and the CMTR formula maybe solved as follows:

Example:If:

F=33 percent of incomeS=ZeroL=3 percent of income

Then:X=.33+(1.00¥.33).03

X=.3501

(ii) Calculation of the CMTR for Year 2.The calculation of the CMTR for Year2 is the same as described for Year 1,except that the Federal tax rate forYear 2 is used in place of the Federaltax rate for Year 1. State and local taxrates remain the same as for Year 1.The following formula shall be used todetermine the CMTR for Year 2:

CMTR Formula: W=F+(1¥F)S+(1¥F)LWhere:

W=CMTR for Year 2F=Federal tax rate for Year 2S=State tax rate for Year 1L=local tax rate for Year 1

(iii) Calculation of CMTR’s for PuertoRico. The following formula shall beused to calculate the CMTR for trans-fers to, from, or between points inPuerto Rico. (This formula is differentfrom the formulas provided in para-graphs (e)(5) (i) and (ii) of this sectionsince the Federal marginal tax rate isdisregarded.)

CMTR Formula: X = P + S + LWhere:

X = CMTR for Year 1 and Year 2P = Puerto Rico tax rate for Year 1S = State tax rate for Year 1, when applica-

ble (See § 302–11.8(e)(4)(i)(B).)L = Local tax rate for Year 1

(f) Determination of the RIT allowance.The RIT allowance to cover the tax li-ability on additional income resultingfrom the covered taxable reimburse-ments received in Year 1 is calculatedin Year 2 as provided below:

(1) The RIT allowance is calculatedby substituting the amount of coveredtaxable reimbursements for Year 1, theCMTR’s for Year 1 and Year 2, and thetotal amount of the WTA’s paid inYear 1 into the gross-up formula as fol-lows:

Z =X

(R) ¥1¥X

(Y)1¥W 1¥W

Where:Z=RIT allowance payable in Year 2X=CMTR for Year 1W=CMTR for Year 2R=covered taxable reimbursementsY=total WTA’s paid in Year 1

Example:

If:

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X=.3903W=.3448R=$21,800Y=$5,450

Then:

Z=.3903

($21,800) ¥1.00¥.3903

($5,450)1.00¥.3448 1.00¥.3448

Z=.5957 ($21,800)¥.9306 ($5,450)Z=$12,986.26¥$5,071.77Z=$7,914.49

(2) There may be instances when aWTA was not paid in Year 1 at the timemoving expense reimbursements weremade. In cases where there is no WTAto be deducted, the value of ‘‘Y’’ is zeroand the formula stated in paragraph(f)(1) of this section for calculating theamount of the RIT allowance (Z) duethe employee in Year 2 may be solvedas shown in the following example:

Example:If:

X=.3903W=.3448R=$21,800Y=Zero

Then:

Z =.3903

($21,800)1.00¥.3448

Z=.5957 ($21,800)Z=$12,986.26

(3) Certain States do not allow thededuction of all or part of the coveredmoving expenses that are deductiblefor Federal income tax purposes. TheState gross-up to cover the additionalState income tax liability resultingfrom the covered moving expense reim-bursements received in Year 1 that aredeductible for Federal income tax pur-poses but not for State income tax pur-poses is calculated in Year 2 as follows:

(i) The State gross-up is calculatedby substituting the amount of coveredmoving expense reimbursements thatare deductible for Federal income taxpurposes but not for State income taxpurposes, the Federal tax rate for Year1, the State tax rate for Year 1, and thecombined marginal tax rate for Year 2into the State gross-up formula as fol-lows:

Formula:

A =S(1¥F)

N1¥W

Where:A=State gross-upF=Federal tax rate for Year 1S=State tax rate for Year 1W=CMTR for Year 2N=covered moving expense reimburse-

ments that are deductible for Federal in-come tax purposes but not for State in-come tax purposes

Example:If:

F=.33S=.06W=.3448N=$9,250

Then:

A =.06(1¥.33)

$9,2501¥.3448

A=.0614 ($9,250)A=$567.95

(ii) Add the State gross-up to the RITallowance amount as calculated usingthe formula in paragraph (f)(1) of thissection. The result is the RIT allow-ance adjusted for those States that donot allow moving expense deductions.Example:RIT allowance payable in Year 1 .. $7,914.49Plus adjustment factor ................. +567.95

Total ....................................... $8,482.44

(4) If the amount of the RIT allow-ance is greater than zero, it is payableto the employee on the travel voucheras a relocation or moving expense al-lowance. The RIT allowance amount isincluded in the employee’s gross in-come for Year 2 and, therefore, subjectto appropriate withholding taxes. (Seenet payment to employee in paragraph(g) of this section.) The RIT allowanceamount will be reported on IRS FormW–2 for Year 2 (including applicable in-come tax withholding amounts) and onIRS Form 4782 for the employee’s infor-mation.

(5) If the calculation of the RIT al-lowance results in a negative amount,the employee is obligated to repay thisamount as a debt due the Government.(See §§ 302–11.7(e)(2) and 302–11.9(b).)

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Relocation Allowances § 302–11.10

(6) Any changes to the employee’s in-come level or filing status for Year 1that would affect the marginal taxrates (Federal, State, or local) used incalculating the RIT allowance must bereported to the agency by the employeeas provided in § 302–11.9(b)(2). (See also§ 302–11.10 for certified statement re-garding these changes.)

(g) Determination of the net paymentdue employee in Year 2. Since theamount of the RIT allowance is incometo the employee in Year 2, it is subjectto the same tax withholding require-ments as all other moving expense re-imbursements. Agencies should deter-mine the appropriate amounts forwithholding taxes under their internaltax withholding procedures. Theamount of withholding taxes is de-ducted from the RIT allowance to ar-rive at the net payment to the em-ployee.

[54 FR 20332, May 10, 1989; 54 FR 23563, June1, 1989, as amended by FTR Amdt. 14, 56 FR9290, Mar. 6, 1991; 56 FR 12816, Mar. 27, 1991;FTR Amdt. 26, 57 FR 28636, June 26, 1992;FTR Amdt. 30, 58 FR 15437, Mar. 23, 1993; FTRAmdt. 37, 59 FR 27490, May 27, 1994]

§ 302–11.9 Responsibilities.

(a) Agency. Finance offices will cal-culate the amount of the gross-up forthe WTA in Year 1 in accordance withprocedures outlined herein and creditthis amount to the employee at thetime of reimbursement as provided in§ 302–11.7(e). The WTA will be reflectedon the employee’s Form W–2 for Year 1.The RIT allowance may be calculatedin Year 2 either by the employee or bythe agency finance office based on in-formation provided by the employee onthe voucher, as directed by the agen-cy’s implementing policies and proce-dures. In addition, agencies shall pre-scribe appropriate and necessary im-plementing procedures as providedelsewhere in this part.

(b) Employee. (1) The employee is re-quired to submit a claim for the RITallowance and to file the tax informa-tion for Year 1 specified in § 302–11.10with his/her agency in Year 2, regard-less of whether any additional reim-bursement for the RIT allowance isowed the employee. (See § 302–11.7(e) foremployee agreement.)

(2) If any action occurs (i.e., amendedtax return, tax audit, etc.) that wouldchange the information provided inYear 2 by the employee to his/her agen-cy for use in calculating the RIT allow-ance due the employee for Year 1 taxes,this information must be provided bythe employee to his/her agency underprocedures prescribed by the agency.(See § 302–11.10.)

(3) If the calculation of the RIT al-lowance results in a negative amount,the employee is obligated to repay thisamount as a debt due the Government.(See §§ 302–11.7(e)(2) and 302–11.8(f)(5).)

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 14, 56 FR 9292, Mar. 6, 1991; FTRAmdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.10 Claims for payment andsupporting documentation and ver-ification.

(a) Claims forms. Claims for paymentof the RIT allowance shall be submit-ted by the employee in Year 2 on SF1012 (Travel Voucher) or other author-ized travel voucher form. When claim-ing payment for the RIT allowance, theemployee shall furnish and certify tocertain tax information that has beenor will be shown on his/her actuallyprepared tax returns. The spouse mustalso sign statement if joint filing sta-tus is claimed and spouse’s income isincluded on statement. This informa-tion shall be contained in a certifiedstatement on, or attached to, the SF1012 reading essentially as follows:

CERTIFIED STATEMENT

I certify that the following information,which is to be used in calculating the RIT al-lowance to which I am entitled, has been (orwill be) shown on the income tax returnsfiled (or to be filed) by me (or by my spouseand me) with the applicable Federal, State,and local (specify which) tax authorities forthe 19ll tax year.—Gross compensation as shown on attached

IRS Form(s) W–2 and, if applicable, netearnings (or loss) from self-employment in-come shown on attached Schedule SE(Form 1040):

Form(s) W–2 Schedule SE

Employee ................................... $lllll $lllllSpouse (if filing jointly)1 ............. $lllll $lllll

Total (Both columns) .......... ...................... $lllll

—Filing status: ———————————————

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–11.11

(Specify one of the filing status items thatwas (or will be) claimed on IRS Form 1040.)

—Marginal tax rates from appendices A, B,and C of 41 CFR part 302–11 and local taxtables derived under procedures prescribedin 41 CFR part 302–11:

Federal for Year 1 ——————————————

Federal for Year 2 ——————————————

State (specify which): ————————————

Local (specify which): ————————————

The above information is true and accurateto the best of my knowledge. I (we) agree tonotify the appropriate agency official of anychanges to the above (i.e., from amended taxreturns, tax audit, etc.) so that appropriateadjustments to the RIT allowance can bemade. The required supporting documentsare attached. Additional documentation willbe furnished if requested.

I (we) further agree that if the 12–monthservice agreement required by 41 CFR 302–1.5is violated, the total amount of the RIT al-lowance will become a debt due the UnitedStates Government and will be repaid ac-cording to agency procedures.

————————————————————————

Employee’s signature

Date —————————————————————

————————————————————————

Spouse’s signature (if filing jointly)1

Date —————————————————————

1 If a joint filing status is claimed andspouse’s income is included, the spouse mustsign the statement. If the spouse does notsign the document, earned income will in-clude only the employee’s earned income asprovided in 41 CFR 302–11.8(d). This conditionwill not apply if an employee is allowed,under IRS rules, to file a joint return as asurviving spouse.

(b) Supporting documentation/verifica-tion. The claim for the RIT allowanceshall be supported by documentationattached to the voucher and by ver-ification of State and local tax obliga-tions as provided below:

(1) Copies of the appropriate IRSForms W–2 and, if applicable, the com-pleted IRS Schedule SE (Form 1040)shall be attached to the voucher tosubstantiate the income amountsshown in the certified statement. Em-ployee (and spouse, if filing jointly)must agree to provide additional docu-mentation to verify income amounts,filing status, and State and local in-come tax obligations if requested bythe agency.

(2) In order to determine or verifywhether a particular State or local tax

authority imposes a tax on moving ex-pense reimbursements, it is incumbentupon the appropriate agency officialsto become familiar with the State andlocal tax laws that affect their trans-ferring employees. In cases where thetaxability of moving expense reim-bursements is not clear, an agency maypay a RIT allowance which reflectsonly those State and local tax obliga-tions that are clearly imposed underState and local tax law. Once the ques-tionable State or local tax obligationsare resolved, agencies may recomputethe RIT allowance and make appro-priate payment adjustments.

(c) Fraudulent claims. A claim againstthe United States is forfeited if theclaimant defrauds or attempts to de-fraud the Government in connectiontherewith (28 U.S.C. 2514). In addition,there are two criminal provisionsunder which severe penalties may beimposed on an employee who know-ingly presents a false, fictitious, orfraudulent claim against the UnitedStates (18 U.S.C. 287 and 1001). The em-ployee’s claim for payment of the RITallowance shall accurately reflect thefacts involved in every instance so thatany violation of these provisions willbe avoided.

§ 302–11.11 Violation of service agree-ment.

In the event the employee violatesthe terms of the service agreement re-quired under § 302–1.5, no part of theRIT allowance or the WTA will be paid,and any amounts paid prior to suchviolation shall be a debt due the UnitedStates until they are repaid by the em-ployee.

§ 302–11.12 Advance of funds.No advance of funds is authorized in

connection with the allowance pro-vided in this part.

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

§ 302–11.13 Source references.The following references or publica-

tions have been used as source materialfor this part.

(a) Internal Revenue Code (IRC), sec-tion 164(a)(3) (26 U.S.C. 164(a)(3)) per-taining to the deductibility of Stateand local income taxes, and section 217

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179

Relocation Allowances Pt. 302–11, App. A

(26 U.S.C. 217), pertaining to movingexpenses.

(b) Internal Revenue Service Publica-tion 521, ‘‘Moving Expenses.’’

(c) Internal Revenue Service, Cir-cular E, ‘‘Employer’s Tax Guide.’’

(d) Department of the Treasury Fi-nancial Manual, TFM 3–5000.

(e) 31 CFR 215.2 (5 U.S.C. 5516, 5517,and 5520).

[54 FR 20332, May 10, 1989, as amended byFTR Amdt. 26, 57 FR 28636, June 26, 1992]

APPENDIX A TO PART 302–11—FEDERAL TAX TABLES FOR RIT ALLOWANCE

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEARS1983/1984

The following table is to be used to determine the Federal marginal tax rate for computa-tion of the RIT allowance as prescribed in § 302–11.8(e)(1).

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

11 ............................................ $3,519 $4,692 $5,742 $7,845 $8,265 $10,356 $4,017 $5,22012 ............................................ 4,692 5,812 7,845 9,830 10,356 12,587 5,220 6,51414 ............................................ 5,812 8,010 9,830 11,979 12,587 17,415 6,514 8,21515 ............................................ 8,010 10,102 N/A N/A N/A N/A N/A N/A16 ............................................ 10,102 12,586 N/A N/A 17,415 22,090 8,215 10,52417 ............................................ N/A N/A 11,979 15,480 N/A N/A N/A N/A18 ............................................ 12,586 14,953 15,480 19,216 22,090 26,915 10,524 13,10520 ............................................ 14,953 17,340 19,216 23,330 N/A N/A N/A N/A22 ............................................ N/A N/A N/A N/A 26,915 32,198 13,105 15,06823 ............................................ 17,340 21,186 N/A N/A N/A N/A N/A N/A24 ............................................ N/A N/A 23,330 29,738 N/A N/A N/A N/A25 ............................................ N/A N/A N/A N/A 32,198 38,335 15,068 18,74826 ............................................ 21,186 27,362 N/A N/A N/A N/A N/A N/A28 ............................................ N/A N/A 29,738 35,682 38,335 45,082 18,748 21,93430 ............................................ 27,362 34,022 N/A N/A N/A N/A N/A N/A32 ............................................ N/A N/A 35,682 43,397 N/A N/A N/A N/A33 ............................................ N/A N/A N/A N/A 45,082 58,888 21,934 27,41534 ............................................ 34,022 41,150 N/A N/A N/A N/A N/A N/A35 ............................................ N/A N/A 43,397 59,143 N/A N/A N/A N/A38 ............................................ 41,150 49,875 N/A N/A 58,888 78,203 27,415 35,99142 ............................................ 49,875 64,832 59,143 78,622 78,203 107,463 35,991 49,85845 ............................................ N/A N/A 78,622 101,019 107,463 132,836 49,858 62,19548 ............................................ 64,832 92,257 101,019 128,517 N/A N/A N/A N/A49 ............................................ N/A N/A N/A N/A 132,836 186,961 62,195 89,00650 ............................................ 92,257 ................ 128,517 ................ 186,961 ................ 89,006 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1985

The following table is to be used to determine the Federal marginal tax rate for computa-tion of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used for employ-ees who received covered taxable reimbursements during calendar year 1985.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

11 ............................................ $3,455 $4,668 $4,834 $7,245 $7,770 $9,566 $3,329 $4,46012 ............................................ 4,668 5,865 7,245 9,726 9,566 12,134 4,460 5,76714 ............................................ 5,865 8,209 9,726 12,174 12,134 17,001 5,767 8,38415 ............................................ 8,209 10,420 N/A N/A N/A N/A N/A N/A16 ............................................ 10,420 12,957 N/A N/A 17,001 21,757 8,384 10,68917 ............................................ N/A N/A 12,174 15,623 N/A N/A N/A N/A18 ............................................ 12,957 15,242 15,623 19,303 21,757 26,795 10,689 13,16120 ............................................ 15,242 17,601 19,303 23,250 N/A N/A N/A N/A22 ............................................ N/A N/A N/A N/A 26,795 32,275 13,161 15,56923 ............................................ 17,601 21,513 N/A N/A N/A N/A N/A N/A24 ............................................ N/A N/A 23,250 29,995 N/A N/A N/A N/A25 ............................................ N/A N/A N/A N/A 32,275 39,016 15,569 18,966

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Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

26 ............................................ 21,513 28,102 N/A N/A N/A N/A N/A N/A28 ............................................ N/A N/A 29,995 37,075 39,016 46,428 18,966 22,95330 ............................................ 28,102 35,112 N/A N/A N/A N/A N/A N/A32 ............................................ N/A N/A 37,075 44,145 N/A N/A N/A N/A33 ............................................ N/A N/A N/A N/A 46,428 60,694 22,953 29,56534 ............................................ 35,112 42,507 N/A N/A N/A N/A N/A N/A35 ............................................ N/A N/A 44,145 59,644 N/A N/A N/A N/A38 ............................................ 42,507 53,394 N/A N/A 60,694 80,537 29,565 39,35942 ............................................ 53,394 72,157 59,644 83,982 80,537 114,119 39,359 54,70245 ............................................ N/A N/A 83,982 113,966 114,119 147,522 54,702 75,40948 ............................................ 72,157 101,995 113,966 145,359 N/A N/A N/A N/A49 ............................................ N/A N/A N/A N/A 147,522 207,441 75,409 110,90650 ............................................ 101,995 ................ 145,359 ................ 207,441 ................ 110,906 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1986

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees who received covered taxable reimbursements during calendar year 1986.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

11 ............................................ $6,180 $7,370 $6,782 $9,533 $9,670 $11,795 $5,840 $7,87912 ............................................ 7,370 8,450 9,533 10,523 11,795 13,739 7,879 9,66514 ............................................ 8,450 10,710 10,523 12,705 13,739 18,356 9,665 11,00015 ............................................ 10,710 11,775 N/A N/A N/A N/A N/A N/A16 ............................................ 11,775 13,197 N/A N/A 18,356 23,068 11,000 11,60017 ............................................ N/A N/A 12,705 16,050 N/A N/A N/A N/A18 ............................................ 13,197 15,648 16,050 19,764 23,068 27,963 11,600 13,94720 ............................................ 15,648 18,108 19,764 23,841 N/A N/A N/A N/A22 ............................................ N/A N/A N/A N/A 27,963 33,533 13,947 16,84323 ............................................ 18,108 22,040 N/A N/A N/A N/A N/A N/A24 ............................................ N/A N/A 23,841 29,849 N/A N/A N/A N/A25 ............................................ N/A N/A N/A N/A 33,533 40,202 16,843 20,29726 ............................................ 22,040 28,198 N/A N/A N/A N/A N/A N/A28 ............................................ N/A N/A 29,849 35,320 40,202 46,870 20,297 22,65930 ............................................ 28,198 33,918 N/A N/A N/A N/A N/A N/A32 ............................................ N/A N/A 35,320 41,715 N/A N/A N/A N/A33 ............................................ N/A N/A N/A N/A 46,870 59,477 22,659 30,36434 ............................................ 33,918 40,741 N/A N/A N/A N/A N/A N/A35 ............................................ N/A N/A 41,715 54,643 N/A N/A N/A N/A38 ............................................ 40,741 47,419 N/A N/A 59,477 76,132 30,364 44,79542 ............................................ 47,419 64,468 54,643 74,430 76,132 104,120 44,795 55,65345 ............................................ N/A N/A 74,430 112,442 104,120 128,224 55,653 69,38348 ............................................ 64,468 96,172 112,442 129,934 N/A N/A N/A N/A49 ............................................ N/A N/A N/A N/A 128,224 183,988 69,383 106,16050 ............................................ 96,172 ................ 129,934 ................ 183,988 ................ 106,160 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1987

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1987.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

11 ............................................ $4,650 $6,481 $7,763 $10,309 $10,400 $13,719 $5,811 $7,081

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Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ 6,481 21,979 10,309 31,379 13,719 40,020 7,081 19,60228 ............................................ 21,979 33,433 31,379 47,903 40,020 58,705 19,602 31,57235 ............................................ 33,433 58,810 47,903 88,015 58,705 101,432 31,572 54,12038.5 ......................................... 58,810 ................ 88,015 ................ 101,432 ................ 54,120 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1988

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1988.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,260 $23,920 $9,440 $34,215 $12,500 $43,410 $6,200 $21,88028 ............................................ 23,920 52,310 34,215 77,300 43,410 88,740 21,880 47,47533 ............................................ 52,310 113,370 77,300 166,910 88,740 197,820 47,475 133,41528 ............................................ 113,370 ................ 166,910 ................ 197,820 ................ 133,415 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1989

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1989.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,320 $24,111 $9,061 $33,963 $12,940 $43,397 $6,723 $23,08928 ............................................ 24,111 50,311 33,963 71,688 43,397 84,030 23,089 54,17733 ............................................ 50,311 110,883 71,688 164,538 84,030 198,284 54,177 145,52328 ............................................ 110,883 ................ 164,538 ................ 198,284 ................ 145,523 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1990

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1990.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,556 $25,167 $9,824 $35,312 $12,652 $44,759 $6,885 $23,08928 ............................................ 25,167 51,042 35,312 75,233 44,759 84,283 23,089 50,14733 ............................................ 51,042 112,588 75,233 170,564 84,283 200,559 50,147 148,10728 ............................................ 112,588 ................ 170,564 ................ 200,559 ................ 148,107 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1991

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1991.

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Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,754 $26,242 $10,177 $36,611 $13,093 $46,770 $7,120 $23,97728 ............................................ 26,242 55,330 36,611 78,894 46,770 94,598 23,977 47,90831 ............................................ 55,330 ................ 78,894 ................ 94,598 ................ 47,908 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1992

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1992.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,190 $27,963 $10,864 $38,611 $14,316 $50,219 $7,819 $25,62928 ............................................ 27,963 58,786 38,611 83,158 50,219 101,123 25,629 50,93931 ............................................ 58,786 ................ 83,158 ................ 101,123 ................ 50,939 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1993

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1993.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $ 6,253 $ 29,075 $ 11,181 $ 41,832 $ 15,153 $ 53,837 $ 7,677 $ 27,03528 ............................................ 29,075 65,032 41,832 96,209 53,837 112,456 27,035 55,67431 ............................................ 65,032 135,204 96,209 151,017 112,456 167,399 55,674 87,15336 ............................................ 135,204 275,043 151,017 270,700 167,399 276,908 87,153 146,60039.6 ......................................... 275,043 ................ 270,700 ................ 276,908 ................ 146,600 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1994

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1994.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filingseparately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,492 $30,068 $11,603 $43,304 $15,846 $55,773 $7,738 $27,85528 ............................................ 30,068 67,256 43,304 97,172 55,773 115,653 27,855 58,98031 ............................................ 67,256 134,936 97,172 155,995 115,653 167,653 58,980 86,84236 ............................................ 134,936 273,705 155,995 284,250 167,653 277,401 86,842 142,54539.6 ......................................... 273,705 ................ 284,250 ................ 277,401 ................ 142,545 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1995

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1995.

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Relocation Allowances Pt. 302–11, App. B

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,643 $30,783 $11,937 $44,304 $16,387 $57,249 $8,171 $28,63728 ............................................ 30,783 68,684 44,304 102,201 57,249 119,362 28,637 59,01731 ............................................ 68,684 139,546 102,201 163,966 119,362 173,514 59,017 88,34136 ............................................ 139,546 283,746 163,966 294,200 173,514 286,217 88,341 147,65039.6 ......................................... 283,746 ................ 294,200 ................ 286,217 ................ 147,650 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1996

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1996.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,885 $31,807 $12,295 $45,572 $17,027 $59,055 $8,229 $29,60028 ............................................ 31,807 70,867 45,572 105,805 59,055 123,190 29,600 61,24531 ............................................ 70,867 144,170 105,805 168,990 123,190 179,414 61,245 90,61136 ............................................ 144,170 292,883 168,990 301,968 179,414 295,681 90,611 150,77939.6 ......................................... 292,883 ................ 301,968 ................ 295,681 ................ 150,779 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1997

The following table is to be used to determine the Federal marginal tax rate for Year 1 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar year 1997.

Marginal tax rate Single taxpayer Heads of household Married filing jointly/qualifying widows & wid-

owers

Married filing sepa-rately

Percent Over But notover Over But not

over Over But notover

Over But notover

15 ............................ $7,067 $32,674 $12,963 $46,966 $16,798 $59,856 $8,702 $29,66928 ............................ 32,674 71,647 46,966 104,632 59,856 123,931 29,669 62,02331 ............................ 71,647 141,006 104,632 161,381 123,931 180,221 62,023 92,07236 ............................ 141,006 288,900 161,381 293,567 180,221 299,695 92,072 152,83539.6 ......................... 288,900 .................. 293,567 .................. 299,695 .................. ¥152,835 ..................

[54 FR 20332, May 10, 1989, as amended by FTR Amdt. 5, 55 FR 1674, Jan. 18, 1990; FTR Amdt.15, 56 FR 10378, Mar. 12, 1991; FTR Amdt. 24, 57 FR 1112, Jan. 10, 1992; FTR Amdt. 28, 58 FR8547, Feb. 16, 1993; FTR Amdt. 35, 59 FR 22520, May 2, 1994; FTR Amdt. 43, 60 FR 2536, Jan.10, 1995; FTR Amdt. 46, 61 FR 3838, Feb. 2, 1996; FTR Amdt. 57, 62 FR 8174, Feb. 24, 1997; FTRAmdt. 71, 63 FR 14637, Mar. 26, 1998]

APPENDIX B TO PART 302–11—STATE TAX TABLES FOR RIT ALLOWANCE

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEARS 1983/1984

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2).

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 0

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

3. Arizona ...................................................... 8 8 8 84. Arkansas ................................................... 6 7 7 75. California ................................................... 3 7 11 11

If single status 3 ....................................... 8 11 11 116. Colorado ................................................... 8 8 8 87. Connecticut ............................................... 0 0 0 08. Delaware ................................................... 8.4 11 13.5 13.5

If single status 3 ....................................... 8.8 12.2 13.5 13.59. District of Columbia .................................. 10 11 11 11

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8.5 10 10.5 11

If single status 3 ....................................... 10.5 11 11 1113. Idaho ......................................................... 7.5 7.5 7.5 7.514. Illinois ........................................................ 2.5 2.5 2.5 2.515. Indiana ...................................................... 3 3 3 316. Iowa .......................................................... 8 11 12 1317. Kansas ...................................................... 7.5 9 9 918. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 8 9.2 10 10

If single status 3 ....................................... 9.2 10 10 1021. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.375 5.375 5.375 5.37523. Michigan .................................................... 5.35 5.35 5.35 5.3524. Minnesota ................................................. 14 16 16 1625. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 9 10 11 11

28. Nebraska * 19 percent of Federal income tax liability 4

29. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.9 5.6 6.5 7.8

If single status 3 ....................................... 6.1 6.9 7.4 7.833. New York .................................................. 11 14 14 14

If single status 3 ....................................... 13 14 14 1434. North Carolina ........................................... 7 7 7 735. North Dakota ............................................. 6 8 9 936. Ohio .......................................................... 4.75 5.7 6.65 9.537. Oklahoma .................................................. 6 6 6 638. Oregon ...................................................... 10.8 10.8 10.8 10.839. Pennsylvania ............................................. 2.35 2.35 2.35 2.35

40. Rhode Island * 25.5 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.75 7.75 7.75 7.7546. Vermont * 26 percent of Federal income tax liability 4

47. Virginia ...................................................... 5.75 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 3.5 7.4 10.5 13

If single status 3 ....................................... 8.2 12.6 13 1350. Wisconsin .................................................. 8.7 9.5 10 1051. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1985

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1985.

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 8 8 8 84. Arkansas ................................................... 6 7 7 75. California ................................................... 3 7 11 11

If single status 3 ....................................... 8 11 11 116. Colorado ................................................... 8 8 8 87. Connecticut ............................................... 0 0 0 08. Delaware ................................................... 7.6 9.9 10.7 10.79. District of Columbia .................................. 10 11 11 11

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8.5 10 10.5 11

If single status 3 ....................................... 10.5 11 11 1113. Idaho ......................................................... 7.5 7.5 7.5 7.514. Illinois ........................................................ 2.5 2.5 2.5 2.515. Indiana ...................................................... 3 3 3 316. Iowa .......................................................... 8 11 12 1317. Kansas ...................................................... 7.5 9 9 918. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 7 9.2 10 10

If single status 3 ....................................... 9.2 10 10 1021. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.375 5.375 5.375 5.37523. Michigan .................................................... 5.35 5.35 5.35 5.3524. Minnesota ................................................. 14 16 16 1625. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 9 10 11 11

28. Nebraska * 19 percent of Federal income tax liability 4

29. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.5 5.6 6.5 7.8

If single status 3 ....................................... 6.1 6.9 7.4 7.833. New York .................................................. 11 14 14 14

If single status 3 ....................................... 13 14 14 1434. North Carolina ........................................... 7 7 7 735. North Dakota ............................................. 6 8 9 936. Ohio .......................................................... 4.75 5.7 6.65 9.537. Oklahoma .................................................. 6 6 6 638. Oregon ...................................................... 10.8 10.8 10.8 10.839. Pennsylvania ............................................. 2.35 2.35 2.35 2.35

40. Rhode Island * 23.15 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.75 7.75 7.75 7.75

46. Vermont * 26.5 percent of Federal income tax liability 4

47. Virginia ...................................................... 5.75 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 3.5 7.4 10.5 13

If single status 3 ....................................... 8.2 12.6 13 1350. Wisconsin .................................................. 8.7 9.5 10 1051. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1986

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1986.

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 8 8 8 84. Arkansas ................................................... 6 7 7 75. California ................................................... 3 7 11 11

If single status 3 ....................................... 8 11 11 116. Colorado ................................................... 8 8 8 87. Connecticut ............................................... 0 0 0 08. Delaware ................................................... 6.9 9.0 9.7 9.79. District of Columbia .................................. 10 11 11 11

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8.5 10.0 10.5 11

If single status 3 ....................................... 10.5 11 11 1113. Idaho ......................................................... 7.5 7.5 7.5 7.514. Illinois ........................................................ 2.5 2.5 2.5 2.515. Indiana ...................................................... 3 3 3 316. Iowa .......................................................... 8 11 12 1317. Kansas ...................................................... 7.5 9 9 918. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 7 9.2 10 10

If single status 3 ....................................... 9.2 10 10 1021. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.19 5.19 5.19 5.1923. Michigan .................................................... 4.725 4.725 4.725 4.72524. Minnesota ................................................. 11 14 14 14

If single status 3 ....................................... 14 14 14 1425. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 9 10 11 11

28. Nebraska * 19 percent of Federal income tax liability 4

29. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 4.8 6.9 7.7 8.533. New York .................................................. 11 13.5 13.5 13.534. North Carolina ........................................... 7 7 7 735. North Dakota ............................................. 6 8 9 936. Ohio .......................................................... 4.513 5.415 6.318 9.02537. Oklahoma .................................................. 6 6 6 638. Oregon ...................................................... 9.75 9.75 9.75 9.7539. Pennsylvania ............................................. 2.167 2.167 2.167 2.167

40. Rhode Island * 22.21 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.75 7.75 7.75 7.7546. Vermont * 26.5 percent of Federal income tax liability 4

47. Virginia ...................................................... 5.75 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 3.5 7.4 10.5 13

If single status 3 ....................................... 8.2 12.6 12.9 1350. Wisconsin .................................................. 9.1 9.5 10 1051. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall estab-lish an appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1987

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1987.

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 7 8 8 84. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 9.3 9.3 9.3

If single status 3 ....................................... 8 9.3 9.3 9.36. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 0 0 0 08. Delaware ................................................... 6.1 8.2 8.8 8.89. District of Columbia .................................. 8 10 10 10

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8.25 9.75 10 10

If single status 3 ....................................... 9.75 10 10 1013. Idaho ......................................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 2.5 2.5 2.5 2.515. Indiana ...................................................... 3.2 3.2 3.2 3.216. Iowa .......................................................... 7 11 12 1317. Kansas ...................................................... 7.5 9 9 918. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 3 9.2 10 10

If single status 3 ....................................... 9.2 10 10 1021. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5 5 5 523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 8 9 9 925. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 7 10 11 11

If single status 3 ....................................... 9 10 11 1128. Nebraska ................................................... 3.2 5 5.9 5.9

If single status 3 ....................................... 5 5.9 5.9 5.929. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.8 5.9 7.7 8.5

If single status 3 ....................................... 5.8 7.7 8.5 8.533. New York .................................................. 7 8.75 8.75 8.75

If single status 3 ....................................... 8.75 8.75 8.75 8.7534. North Carolina ........................................... 7 7 7 735. North Dakota ............................................. 6.67 9.33 12 12

If single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 3.004 4.506 5.257 6.00837. Oklahoma .................................................. 4 6 6 6

If single status 3 ....................................... 6 6 6 638. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.1 2.1 2.1 2.1

40. Rhode Island * 23.46 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.75 7.75 7.75 7.75

46. Vermont * 25.8 percent of Federal income tax liability 4

47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6 6.5

If single status 3 ....................................... 4 6 6.5 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

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STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1988

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1988.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 6 8 8 8

If single status 3 ....................................... 8 8 8 84. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 6 9.3 9.3

If single status 3 ....................................... 6 9.3 9.3 9.36. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 0 0 0 08. Delaware ................................................... 6 7.6 7.7 7.7

If single status 3 ....................................... 6 7.7 7.7 7.79. District of Columbia .................................. 8 9.5 9.5 9.5

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8.25 9.75 10 10

If single status 3 ....................................... 9.75 10 10 1013. Idaho ......................................................... 7.5 7.8 8.2 8.2

If single status 3 ....................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 2.5 2.5 2.5 2.515. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 8.8 9.98 9.98

If single status 3 ....................................... 7.2 8.8 9.98 9.9817. Kansas ...................................................... 4.05 5.3 5.3 5.3

If single status 3 ....................................... 4.8 6.1 6.1 6.118. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 4 6

If single status 3 ....................................... 4 4 6 620. Maine ........................................................ 2 8 8 8

If single status 3 ....................................... 8 8 8 821. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5 5 5 523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8.5 8.5 8.525. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 7.7 11 12.1 12.1

If single status 3 ....................................... 8.8 11 12.1 12.128. Nebraska ................................................... 3.15 5 5.9 5.9

If single status 3 ....................................... 5 5.9 5.9 5.929. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.8 6.9 7.7 8.5

If single status 3 ....................................... 5.8 8.5 8.5 8.533. New York .................................................. 5 8.375 8.375 8.375

If single status 3 ....................................... 8.375 8.375 8.375 8.37534. North Carolina ........................................... 7 7 7 7

35. North Dakota * 14 percent of Federal income tax liablity 4

36. Ohio .......................................................... 2.972 4.457 5.201 6.9If single status 3 ....................................... 3.715 5.201 5.201 6.9

37. Oklahoma .................................................. 4 6 6 6If single status 3 ....................................... 6 6 6 6

38. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.1 2.1 2.1 2.1

40. Rhode Island * 22.96 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.75 7.75 7.75 7.75

46. Vermont * 23 percent of Federal income tax liability 4

47. Virginia ...................................................... 5 5.75 5.75 5.75

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

If single status 3 ....................................... 5.75 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6.5 6.5

If single status 3 ....................................... 4 6 6.5 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.93

If single status 3 ....................................... 6.93 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1989

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1989.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

1. Alabama ...................................................... 5 5 5 52. Alaska ......................................................... 0 0 0 03. Arizona ........................................................ 6 8 8 8

If single status 3 ....................................... 8 8 8 84. Arkansas ..................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ..................................................... 2 6 9.3 9.3

If single status 3 ....................................... 6 9.3 9.3 9.36. Colorado ..................................................... 5 5 5 57. Connecticut ................................................. 0 0 0 08. Delaware ..................................................... 6 7.6 7.7 7.7

If single status 3 ....................................... 6 7.7 7.7 7.79. District of Columbia .................................... 8 9.5 9.5 9.510. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 7.5 7.8 8.2 8.2

If single status 3 ....................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 2.75 2.75 2.75 2.7515. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 8.8 9.98 9.98

If single status 3 ....................................... 7.2 8.8 9.98 9.9817. Kansas ...................................................... 3.65 5.15 5.15 5.15

If single status 3 ....................................... 4.5 5.95 5.95 5.9518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 4 6

If single status 3 ....................................... 4 4 6 620. Maine ........................................................ 4.5 8.5 8.5 8.5

If single status 3 ....................................... 8.5 8.5 8.5 8.521. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.375 5.375 5.375 5.37523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8.5 8.5 8.525. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 7 10 11 11

If single status 3 ....................................... 8 10 11 1128. Nebraska ................................................... 3.1 4.8 5.9 5.9

If single status 3 ....................................... 4.8 5.9 5.9 5.929. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.8 6.9 7.7 8.5

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

If single status 3 ....................................... 5.8 8.5 8.5 8.533. New York .................................................. 5 7.875 7.875 7.875

If single status 3 ....................................... 7.875 7.875 7.875 7.87534. North Carolina ........................................... 7 7 7 735. North Dakota *17 percent of Federal income tax liability 4

36. Ohio .......................................................... 2.972 4.457 5.201 6.9If single status 3 ....................................... 3.715 5.201 5.201 6.9

37. Oklahoma .................................................. 4 6 6 6If single status 3 ....................................... 6 6 6 6

38. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.1 2.1 2.1 2.140. Rhode Island *22.96 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.35 7.35 7.35 7.3546. Vermont *25 percent of Federal income tax liability 4

47. Virginia ...................................................... 5 5.75 5.75 5.75If single status 3 ....................................... 5.75 5.75 5.75 5.75

48. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6.5 6.5

If single status 3 ....................................... 4 6 6.5 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.93

If single status 3 ....................................... 6.93 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1990

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1990.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

1. Alabama ...................................................... 5 5 5 52. Alaska ......................................................... 0 0 0 03. Arizona ........................................................ 3.8 4.4 5.25 7

If single status 3 ....................................... 4.4 5.25 6.5 74. Arkansas ..................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ..................................................... 2 6 9.3 9.3

If single status 3 ....................................... 6 9.3 9.3 9.36. Colorado ..................................................... 5 5 5 57. Connecticut ................................................. 0 0 0 08. Delaware ..................................................... 6 7.6 7.7 7.79. District of Columbia .................................... 8 9.5 9.5 9.510. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 8.8 9.98 9.9817. Kansas ...................................................... 3.65 5.15 5.15 5.1518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 4.5 8.5 8.5 8.5

If single status 3 ....................................... 8.5 8.5 8.5 8.521. Maryland ................................................... 5 5 5 5

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 & over

22. Massachusetts .......................................... 5.95 5.95 5.95 5.9523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8 8.5 8.525. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 6 10 11 11

If single status 3 ....................................... 8 10 11 1128. Nebraska ................................................... 3.361 5.21 6.41 6.41

If single status 3 ....................................... 5.21 6.41 6.41 6.4129. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 3.532. New Mexico .............................................. 3.8 6.9 7.7 8.5

If single status 3 ....................................... 5.8 8.5 8.5 8.533. New York .................................................. 5 7.875 7.875 7.875

If single status 3 ....................................... 7.875 7.875 7.875 7.87534. North Carolina ........................................... 6 7 7 735. North Dakota ............................................. 6.67 10.67 12 12

If Single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 2.972 4.457 5.201 6.937. Oklahoma .................................................. 4 7 7 7

If single status 3 ....................................... 7 7 7 738. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.1 2.1 2.1 2.140. Rhode Island * 22.96 percent of Federal income tax liability 4

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.2 7.2 7.2 7.246. Vermont * 28 percent of Federal income tax liability 4

47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6.5 6.5

If single status 3 ....................................... 4 6 6.5 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1991

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1991.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 3.8 4.4 5.25 7

If single status 3 ....................................... 4.4 5.25 6.5 74. Arkansas ................................................... 3.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 6 8 11

If single status 3 ....................................... 6 9.3 9.3 116. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 1.5 1.5 1.5 1.58. Delaware ................................................... 5 7.6 7.7 7.79. District of Columbia .................................. 6 9.5 9.5 9.5

If single status 3 ....................................... 8 9.5 9.5 9.510. Florida ....................................................... 0 0 0 0

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

11. Georgia ..................................................... 5 6 6 612. Hawaii ....................................................... 7.25 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 6.5 7.8 8.2 8.2

If single status 3 ....................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 5 8.8 9.98 9.98

If single status 3 ....................................... 7.2 8.8 9.98 9.9817. Kansas ...................................................... 3.65 3.65 5.15 5.15

If single status 3 ....................................... 4.5 5.95 5.95 5.9518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 4 6

If single status 3 ...................................... 4 4 6 620. Maine ........................................................ 4.725 8.925 8.925 9.89

If single status 3 ....................................... 8.925 9.89 9.89 9.8921. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 6.25 6.25 6.25 6.2523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8 8.5 8.525. Mississippi ................................................. 4 5 5 526. Missouri ..................................................... 5.5 6 6 627. Montana .................................................... 5 10 10 11

If single status 3 ....................................... 8 10 11 1128. Nebraska ................................................... 3.63 5.62 6.92 6.92

If single status 3 ....................................... 5.62 6.92 6.92 6.9229. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 7

If single status 3 ....................................... 2 5 6.5 732. New Mexico .............................................. 3.8 5.9 7.7 8.5

If single status 3 ....................................... 5.8 7.7 8.5 8.533. New York .................................................. 4 7.875 7.875 7.875

If single status 3 ....................................... 7.875 7.875 7.875 7.87534. North Carolina ........................................... 6 7 7 7.7535. North Dakota ............................................. 6.67 9.33 12 12

If Single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 1.486 4.457 5.201 6.9

If single status 3 ....................................... 3.715 4.457 5.201 6.937. Oklahoma .................................................. 3 7 7 7

If single status 3 ....................................... 7 7 7 738. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.6 2.6 2.6 2.6

40. Rhode Island * 27.5 percent of Federal income tax liability 4

41. South Carolina .......................................... 6 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.2 7.2 7.2 7.2

46. Vermont * (See footnote 5) 4

If single status 3 * 34 percent of Federal income tax liability 4

47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 3 4.5 6 6.550. Wisconsin .................................................. 4.9 6.93 6.93 6.93

If single status 3 ....................................... 6.93 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 Rates shown as a percent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Vermont (for other than single status) is 31 percent of Federal income tax liability for employeeswhose earned income amounts are between $20,000-$24,999; for all other employees the rate is 34 percent of Federal incometax liability.

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STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1992

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1992.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 3.8 4.4 5.25 7

If single status 3 ....................................... 4.4 5.25 6.5 74. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 6 8 11

If single status 3 ....................................... 6 9.3 9.3 116. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 4.5 4.5 4.5 4.58. Delaware ................................................... 6 7.7 7.7 7.79. District of Columbia .................................. 6 9.5 9.5 9.5

If single status 3 ....................................... 8 9.5 9.5 9.510. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 5 6 6 612. Hawaii ....................................................... 7.25 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 6.5 7.8 8.2 8.2

If single status 3 ....................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 8.8 9.98 9.9817. Kansas ...................................................... 3.5 6.25 6.25 6.45

If single status 3 ....................................... 4.4 7.75 7.75 7.7518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 6 6

If single status 3 ...................................... 4 4 6 620. Maine ........................................................ 4.725 8.925 8.925 9.89

If single status 3 ....................................... 8.925 9.89 9.89 9.8921. Maryland ................................................... 5 5 5 622. Massachusetts .......................................... 5.95 5.95 5.95 5.9523. Michigan .................................................... 4.6 4.6 4.6 4.624. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8 8.5 8.525. Mississippi ................................................. 4 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 5.115 10.23 11.253 11.253

If single status 3 ....................................... 8.184 11.253 11.253 11.25328. Nebraska ................................................... 3.63 5.62 6.92 6.92

If single status 3 ....................................... 5.62 6.92 6.92 6.9229. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 7

If single status 3 ....................................... 2 6.5 6.5 732. New Mexico .............................................. 3.8 5.9 7.7 8.5

If single status 3 ....................................... 5.8 8.5 8.5 8.533. New York .................................................. 4 7.875 7.875 7.875

If single status 3 ....................................... 7.875 7.875 7.875 7.87534. North Carolina ........................................... 6 7 7 7.7535. North Dakota ............................................. 6.67 9.33 12 12

If single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 1.486 4.457 5.201 6.9

If single status 3 ....................................... 3.715 5.201 5.201 6.937. Oklahoma .................................................. 4 7 7 7

If single status 3 ....................................... 7 7 7 738. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.95 2.95 2.95 2.95

40. Rhode Island ............................................. (4) (4) (4) (4)If single status 3 ....................................... (5) (5) (5) (5)

41. South Carolina .......................................... 6 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.2 7.2 7.2 7.2

46. Vermont .................................................... (6) (6) (6) (6)

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

If single status 3 ....................................... (7) (7) (7) (7)47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 3 4.5 6 6.5

If single status 3 ....................................... 4 6 6.5 6.550. Wisconsin .................................................. 4.9 6.93 6.93 6.93

If single status 3 ....................................... 6.93 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for Rhode Island (for other than single status) is 27.5 percent of Federal income tax liability for employ-ees whose earned income amounts are between $20,000–$74,999; and 29.75 percent of Federal income tax liability for employ-ees whose earned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must beconverted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Rhode Island (for single status) is 27.5 percent of Federal income tax liability for employees whoseearned income amounts are between $20,000–$49,999; and 29.75 percent of Federal income tax liability for employees whoseearned income amounts are $50,000 and over. Rates shown as a percent of Federal income tax liability must be converted to apercent of income as provided in § 302–11.8(e)(2)(iii).

6 The income tax rate for Vermont (for other than single status) is 28 percent of Federal income tax liability for employeeswhose earned income amounts are between $20,000–$24,999; 31 percent of Federal income tax liability for employees whoseearned income amounts are between $25,000–$74,999; and 34 percent of Federal income tax liability for employees whoseearned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be converted to apercent of income as provided in § 302–11.8(e)(2)(iii).

7 The income tax rate for Vermont (for single status) is 28 percent of Federal income tax liability for employees whose earnedincome amounts are between $20,000–$24,999; 31 percent of Federal income tax liability for employees whose earned incomeamounts are between $25,000–$49,999; and 34 percent of Federal income tax liability for employees whose earned incomeamounts are $50,000 and over. Rates shown as a percent of Federal income tax liability must be converted to a percent of in-come as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1993

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1993.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 3.8 4.4 5.25 7

If single status 3 ....................................... 4.4 5.25 6.5 74. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 4 8 11

If single status 3 ....................................... 6 9.3 9.3 116. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 4.5 4.5 4.5 4.58. Delaware ................................................... 6 7.6 7.7 7.79. District of Columbia .................................. 8 9.5 9.5 9.5

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 6.5 7.8 8.2 8.2

If single status 3 ....................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 8.8 9.98 9.9817. Kansas ...................................................... 3.5 6.25 6.25 6.45

If single status 3 ....................................... 4.4 7.75 7.75 7.7518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 4 4 6 620. Maine ........................................................ 4.5 7 8.5 8.5

If single status 3 ....................................... 8.5 8.5 8.5 8.521. Maryland ................................................... 5 5 5 622. Massachusetts .......................................... 5.95 5.95 5.95 5.9523. Michigan .................................................... 4.6 4.6 4.6 4.6

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

24. Minnesota ................................................. 6 8 8 8.5If single status 3 ....................................... 8 8 8.5 8.5

25. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 6.282 9.423 10.47 11.517

If single status 3 ....................................... 8.376 10.47 10.47 11.51728. Nebraska ................................................... 3.65 5.24 6.99 6.99

If single status 3 ....................................... 5.24 6.99 6.99 6.9929. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 2 2.5 3.5 7

If single status 3 ....................................... 2 5 6.5 732. New Mexico .............................................. 3.8 5.9 7.7 8.5

If single status 3 ....................................... 5.8 7.7 8.5 8.533. New York .................................................. 5 7.875 7.875 7.875

If single status 3 ....................................... 7.875 7.875 7.875 7.87534. North Carolina ........................................... 6 7 7 7.7535. North Dakota ............................................. 6.67 9.33 12 12

If single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 2.972 4.457 5.201 7.537. Oklahoma .................................................. 5 7 7 7

If single status 3 ....................................... 7 7 7 738. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.8 2.8 2.8 2.8

40. Rhode Island ............................................. (See footnote 4)

If single status 3 (See footnote 5)41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.2 7.2 7.2 7.2

46. Vermont (See footnote 6)If single status 3 (See footnote 7)

47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for Rhode Island (for other than single status) is 27.5 percent of Federal income tax liability for employ-ees whose earned income amounts are between $20,000–$24,999; 32 percent of Federal income tax liability for employeeswhose earned income amounts are between $25,000–$49,999; 27.55 percent of Federal income tax liability for employeeswhose earned income amounts are between $50,000–$74,999; and 25.05 percent of Federal income tax liability for employeeswhose earned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be con-verted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Rhode Island (for single status) is 32 percent of Federal income tax liability for employees whoseearned income amounts are between $20,000–$24,999; 27.55 percent of Federal income tax liability for employees whoseearned income amounts are between $25,000–$74,999; and 25.05 percent of Federal income tax liability for employees whoseearned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be converted to apercent of income as provided in § 302–11.8(e)(2)(iii).

6 The income tax rate for Vermont (for other than single status) is 28 percent of Federal income tax liability for employeeswhose earned income amounts are between $20,000–$24,999; 31 percent of Federal income tax liability for employees whoseearned income amounts are between $25,000–$74,999; and 34 percent of Federal income tax liability for employees whoseearned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be converted to apercent of income as provided in § 302–11.8(e)(2)(iii).

7 The income tax rate for Vermont (for single status) is 28 percent of Federal income tax liability for employees whose earnedincome amounts are between $20,000–$24,999; 31 percent of Federal income tax liability for employees whose earned incomeamounts are between $25,000–$49,999; and 34 percent of Federal income tax liability for employees whose earned incomeamounts are $50,000 and over. Rates shown as a percent of Federal income tax liability must be converted to a percent of in-come as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1994

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1994.

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 andover

1. Alabama .................................................. 5 5 5 52. Alaska ..................................................... 0 0 0 03. Arizona .................................................... 3.25 4.0 5.05 6.9

If single status 3 ..................................... 3.25 4.0 6.4 6.94. Arkansas ................................................. 4.5 7 7 7

If single status 3 ..................................... 6 7 7 75. California ................................................. 2 4 8 11

If single status 3 ..................................... 6 9.3 9.3 116. Colorado ................................................. 5 5 5 57. Connecticut ............................................. 4.5 4.5 4.5 4.58. Delaware ................................................. 6 7.6 7.7 7.79. District of Columbia ................................ 8 9.5 9.5 9.5

10. Florida ..................................................... 0 0 0 011. Georgia ................................................... 6 6 6 612. Hawaii ..................................................... 8 9.5 10 10

If single status 3 ..................................... 9.5 10 10 1013. Idaho ....................................................... 7.5 7.8 8.2 8.214. Illinois ...................................................... 3 3 3 315. Indiana .................................................... 3.4 3.4 3.4 3.416. Iowa ........................................................ 6.8 8.8 9.98 9.9817. Kansas .................................................... 3.5 6.25 6.25 6.45

If single status 3 ..................................... 4.4 7.75 7.75 7.7518. Kentucky ................................................. 6 6 6 619. Louisiana ................................................. 2 4 6 6

If single status 3 ..................................... 4 4 6 620. Maine ...................................................... 4.5 8.5 8.5 8.5

If single status 3 ..................................... 8.5 8.5 8.5 8.521. Maryland ................................................. 5 5 5 622. Massachusetts ........................................ 5.95 5.95 5.95 5.9523. Michigan .................................................. 4.4 4.4 4.4 4.424. Minnesota ............................................... 6 8 8 8.5

If single status 3 ..................................... 8 8 8.5 8.525. Mississippi ............................................... 5 5 5 526. Missouri ................................................... 6 6 6 627. Montana .................................................. 6 9 10 11

If single status 3 ..................................... 8 10 10 1128. Nebraska ................................................. 3.65 5.24 6.99 6.99

If single status 3 ..................................... 5.24 6.99 6.99 6.9929. Nevada .................................................... 0 0 0 030. New Hampshire ...................................... 0 0 0 031. New Jersey ............................................. 1.9 2.375 3.325 6.65

If single status 3 ..................................... 1.9 4.75 6.175 6.6532. New Mexico ............................................ 3.2 6 7.9 8.5

If single status 3 ..................................... 6 7.9 8.5 8.533. New York ................................................ 5 7.875 7.875 7.875

If single status 3 ..................................... 7.875 7.875 7.875 7.87534. North Carolina ......................................... 6 7 7 7.7535. North Dakota ........................................... 6.67 9.33 12 12

If single status 3 ..................................... 8 10.67 12 1236. Ohio ........................................................ 2.972 4.457 5.201 7.537. Oklahoma ................................................ 5 7 7 7

If single status 3 ..................................... 7 7 7 738. Oregon .................................................... 9 9 9 939. Pennsylvania ........................................... 2.8 2.8 2.8 2.840. Rhode Island (See footnote 4)

If single status 3 (See footnote 5)41. South Carolina ........................................ 7 7 7 742. South Dakota .......................................... 0 0 0 043. Tennessee .............................................. 0 0 0 044. Texas ...................................................... 0 0 0 045. Utah ........................................................ 7.2 7.2 7.2 7.246. Vermont (See footnote 6)47. Virginia .................................................... 5 5.75 5.75 5.7548. Washington ............................................. 0 0 0 049. West Virginia ........................................... 4 4.5 6 6.550. Wisconsin ................................................ 6.55 6.93 6.93 6.9351. Wyoming ................................................. 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

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3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for Rhode Island (for other than single status) is 27.5 percent of Federal income tax liability for employ-ees whose earned income amounts are between $20,000–$24,999; 32 percent of Federal income tax liability for employeeswhose earned income amounts are between $25,000–$49,999; 27.55 percent of Federal income tax liability for employeeswhose earned income amounts are between $50,000–$74,999; and 25.05 percent of Federal income tax liability for employeeswhose earned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be con-verted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Rhode Island (for single status) is 32 percent of Federal income tax liability for employees whoseearned income amounts are between $20,000–$24,999; 27.55 percent of Federal income tax liability for employees whoseearned income amounts are between $25,000–$74,999; and 25.05 percent of Federal income tax liability for employees whoseearned income amounts are $75,000 and over. Rates shown as a percent of Federal income tax liability must be converted to apercent of income as provided in § 302–11.8(e)(2)(iii).

6 The income tax rate for Vermont is 25 percent of Federal income tax liability for all employees. Rates shown as a percent ofFederal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1995

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1995.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 3.25 4 5.05 6.9

If single status 3 ....................................... 4 5.05 6.4 6.94. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 4 8 11

If single status 3 ....................................... 4 9.3 9.3 116. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 4.5 4.5 4.5 4.58. Delaware ................................................... 6 7.6 7.7 7.79. District of Columbia .................................. 8 9.5 9.5 9.5

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 7.5 7.8 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 7.55 9.98 9.98

If single status 3 ....................................... 7.2 8.8 9.98 9.9817. Kansas ...................................................... 3.5 6.25 6.25 6.45

If single status 3 ....................................... 4.4 7.75 7.75 7.7518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 4 6

If single status 3 ....................................... 4 4 6 620. Maine ........................................................ 4.5 7 8.5 8.5

If single status 3 ....................................... 8.5 8.5 8.5 8.521. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.95 5.95 5.95 5.9523. Michigan .................................................... 4.4 4.4 4.4 4.424. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8 8.5 8.525. Mississippi ................................................. 5 5 5 526. Missouri ..................................................... 6 6 6 627. Montana .................................................... 6 9 10 1128. Nebraska ................................................... 3.65 5.60 7.35 7.75

If single status 3 ....................................... 5.60 7.35 7.60 7.7529. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 1.7 2.125 2.975 6.58

If single status 3 ....................................... 1.7 4.25 6.013 6.5832. New Mexico .............................................. 3.2 6 7.1 8.5

If single status 3 ....................................... 6 7.1 7.9 8.533. New York .................................................. 4.55 7.594 7.594 7.594

If single status 3 ....................................... 7.594 7.594 7.594 7.59434. North Carolina ........................................... 6 7 7 7.7535. North Dakota ............................................. 14 14 14 14

(See footnote 4)36. Ohio .......................................................... 2.972 4.457 5.201 7.537. Oklahoma .................................................. 4 7 7 7

If single status 3 ....................................... 7 7 7 7

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

38. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.8 2.8 2.8 2.8

40. Rhode Island ............................................. 27.5 27.5 27.5 27.5........................................................................ (See footnote 5)

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7.2 7.2 7.2 7.2

46. Vermont (See footnote 6)47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for North Dakota is 14 percent of Federal income tax liability for all employees. Rates shown as a per-cent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Rhode Island is 27.5 percent of Federal income tax liability for all employees. Rates shown as a per-cent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

6 The income tax rate for Vermont is 25 percent of Federal income tax liability for all employees. Rates shown as a percent ofFederal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1996

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1996.

State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

1. Alabama .................................................... 5 5 5 52. Alaska ....................................................... 0 0 0 03. Arizona ...................................................... 3 3.5 4.2 5.64. Arkansas ................................................... 4.5 7 7 7

If single status 3 ....................................... 6 7 7 75. California ................................................... 2 4 8 11

If single status 3 ....................................... 4 9.3 9.3 116. Colorado ................................................... 5 5 5 57. Connecticut ............................................... 4.5 4.5 4.5 4.58. Delaware ................................................... 6 7.1 7.1 7.19. District of Columbia .................................. 8 9.5 9.5 9.5

10. Florida ....................................................... 0 0 0 011. Georgia ..................................................... 6 6 6 612. Hawaii ....................................................... 8 9.5 10 10

If single status 3 ....................................... 9.5 10 10 1013. Idaho ......................................................... 7.8 8.2 8.2 8.214. Illinois ........................................................ 3 3 3 315. Indiana ...................................................... 3.4 3.4 3.4 3.416. Iowa .......................................................... 6.8 7.55 9.98 9.98

If single status 3 ....................................... 7.2 8.8 9.98 9.9817. Kansas ...................................................... 3.5 6.25 6.25 6.45

If single status 3 ....................................... 4.4 7.75 7.75 7.7518. Kentucky ................................................... 6 6 6 619. Louisiana ................................................... 2 4 4 6

If single status 3 ....................................... 4 4 6 620. Maine ........................................................ 4.5 7 8.5 8.5

If single status 3 ....................................... 8.5 8.5 8.5 8.521. Maryland ................................................... 5 5 5 522. Massachusetts .......................................... 5.95 5.95 5.95 5.9523. Michigan .................................................... 4.4 4.4 4.4 4.424. Minnesota ................................................. 6 8 8 8.5

If single status 3 ....................................... 8 8 8.5 8.525. Mississippi ................................................. 5 5 5 5

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State (or district)

Marginal tax rates (stated in percents) for the earned income amounts specifiedin each column 1 2

$20,000–$24,999 $25,000–$49,999 $50,000–$74,999 $75,000 and over

26. Missouri ..................................................... 6 6 6 627. Montana .................................................... 6 9 10 1128. Nebraska ................................................... 3.65 5.24 6.99 6.99

If single status 3 ....................................... 5.24 6.99 6.99 6.9929. Nevada ...................................................... 0 0 0 030. New Hampshire ........................................ 0 0 0 031. New Jersey ............................................... 1.4 1.75 2.45 6.37

If single status 3 ....................................... 1.4 3.45 5.25 6.3732. New Mexico .............................................. 3.2 6 7.1 8.5

If single status 3 ....................................... 6 7.1 7.9 8.533. New York .................................................. 5 7.125 7.125 7.125

If single status 3 ....................................... 7.125 7.125 7.125 7.12534. North Carolina ........................................... 6 7 7 7.7535. North Dakota ............................................. 6.67 9.33 12 12

If single status 3 ....................................... 8 10.67 12 1236. Ohio .......................................................... 2.972 4.457 5.201 7.537. Oklahoma .................................................. 4 7 7 7

If single status 3 ....................................... 7 7 7 738. Oregon ...................................................... 9 9 9 939. Pennsylvania ............................................. 2.8 2.8 2.8 2.8

40. Rhode Island ............................................. 27.5 27.5 27.5 27.5........................................................................ (See footnote 4)

41. South Carolina .......................................... 7 7 7 742. South Dakota ............................................ 0 0 0 043. Tennessee ................................................ 0 0 0 044. Texas ........................................................ 0 0 0 045. Utah .......................................................... 7 7 7 7

46. Vermont (See footnote 5)47. Virginia ...................................................... 5 5.75 5.75 5.7548. Washington ............................................... 0 0 0 049. West Virginia ............................................. 4 4.5 6 6.550. Wisconsin .................................................. 6.55 6.93 6.93 6.9351. Wyoming ................................................... 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for Rhode Island is 27.5 percent of Federal income tax liability for all employees. Rates shown as a per-cent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Vermont is 25 percent of Federal income tax liability for all employees. Rates shown as a percent ofFederal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

STATE MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1997

The following table is to be used to determine the State marginal tax rates for calculationof the RIT allowance as prescribed in § 302–11.8(e)(2). This table is to be used for employeeswho received covered taxable reimbursements during calendar year 1997.

Marginal tax rates (stated in percents) for the earned income amounts specified in each column.1 2

State (or district) $20,000–$24,999

$25,000–$49,999

$50,000–$74,999

$75,000 &over

Alabama ......................................................................................... 5 5 5 5Alaska ............................................................................................. 0 0 0 0Arizona ........................................................................................... 2.9 3.3 3.9 5.17Arkansas ........................................................................................ 4.5 7 7 7

If single status 3 ....................................................................... 6 7 7 7California ........................................................................................ 2 4 8 9.3

If single status 3 ....................................................................... 4 9.3 9.3 9.3Colorado ......................................................................................... 5 5 5 5Connecticut .................................................................................... 3 4.5 4.5 4.5

If single status 3 ....................................................................... 4.5 4.5 4.5 4.5Delaware ........................................................................................ 5.8 6.9 6.9 6.9District of Columbia ........................................................................ 8 9.5 9.5 9.5Florida ............................................................................................ 0 0 0 0Georgia ........................................................................................... 6 6 6 6Hawaii ............................................................................................. 8 9.5 10 10

If single status 3 ....................................................................... 9.5 10 10 10Idaho .............................................................................................. 7.8 8.2 8.2 8.2

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Marginal tax rates (stated in percents) for the earned income amounts specified in each column.1 2

State (or district) $20,000–$24,999

$25,000–$49,999

$50,000–$74,999

$75,000 &over

Illinois ............................................................................................. 3 3 3 3Indiana ............................................................................................ 3.4 3.4 3.4 3.4Iowa ................................................................................................ 6.8 7.55 9.98 9.98

If single status 3 ....................................................................... 7.2 8.8 9.98 9.98Kansas ........................................................................................... 3.5 6.25 6.25 6.45

If single status 3 ....................................................................... 4.4 7.75 7.75 7.75Kentucky ......................................................................................... 6 6 6 6Louisiana ........................................................................................ 2 4 4 6

If single status 3 ....................................................................... 4 4 6 6Maine .............................................................................................. 4.5 7 8.5 8.5

If single status 3 ....................................................................... 8.5 8.5 8.5 8.5Maryland ......................................................................................... 5 5 5 5Massachusetts ............................................................................... 5.95 5.95 5.95 5.95Michigan ......................................................................................... 4.4 4.4 4.4 4.4Minnesota ....................................................................................... 6 8 8 8.5

If single status 3 ....................................................................... 8 8 8.5 8.5Mississippi ...................................................................................... 5 5 5 5Missouri .......................................................................................... 6 6 6 6Montana ......................................................................................... 6 9 10 11Nebraska ........................................................................................ 3.65 5.24 6.99 6.99

If single status 3 ....................................................................... 5.24 6.99 6.99 6.99Nevada ........................................................................................... 0 0 0 0New Hampshire .............................................................................. 0 0 0 0New Jersey .................................................................................... 1.4 1.75 2.45 6.37

If single status 3 ....................................................................... 1.4 3.50 5.525 6.37New Mexico .................................................................................... 3.2 6 7.1 8.5

If single status 3 ....................................................................... 6 7.1 7.9 8.5New York ........................................................................................ 4 5.9 6.85 6.85

If single status 3 ....................................................................... 5.9 6.85 6.85 6.85North Carolina ................................................................................ 6 7 7 7.75North Dakota .................................................................................. 6.67 9.33 12 12

If single status 3 ....................................................................... 8 10.67 12 12Ohio ................................................................................................ 2.853 4.279 4.993 7.201Oklahoma ....................................................................................... 4 7 7 7

If single status 3 ....................................................................... 7 7 7 7Oregon ........................................................................................... 9 9 9 9Pennsylvania .................................................................................. 2.8 2.8 2.8 2.8Rhode Island .................................................................................. 27.5 27.5 27.5 27.5

(Rhode Island—See Footnote 4)

South Carolina ............................................................................... 7 7 7 7South Dakota ................................................................................. 0 0 0 0Tennessee ...................................................................................... 0 0 0 0Texas .............................................................................................. 0 0 0 0Utah ................................................................................................ 7 7 7 7Vermont .......................................................................................... 25 25 25 25

(Vermont—See Footnote 5)

Virginia ........................................................................................... 5 5.75 5.75 5.75Washington .................................................................................... 0 0 0 0West Virginia .................................................................................. 4 4.5 6 6.5Wisconsin ....................................................................................... 6.55 6.93 6.93 6.93Wyoming ........................................................................................ 0 0 0 0

1 Earned income amounts that fall between the income brackets shown in this table (e.g., $24,999.45, $49,999.75) should berounded to the nearest dollar to determine the marginal tax rate to be used in calculating the RIT allowance.

2 If the earned income amount is less than the lowest income bracket shown in this table, the employing agency shall establishan appropriate marginal tax rate as provided in § 302–11.8(e)(2)(ii).

3 This rate applies only to those individuals certifying that they will file under a single status within the States where they willpay income taxes. All other taxpayers, regardless of filing status, will use the other rate shown.

4 The income tax rate for Rhode Island is 27.5 percent of Federal income tax liability for all employees. Rates shown as a per-cent of Federal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

5 The income tax rate for Vermont is 25 percent of Federal income tax liability for all employees. Rates shown as a percent ofFederal income tax liability must be converted to a percent of income as provided in § 302–11.8(e)(2)(iii).

[54 FR 20332, May 10, 1989, as amended by FTR Amdt. 5, 55 FR 1674, Jan. 18, 1990; 55 FR 5945,Feb. 20, 1990; 55 FR 10866, Mar. 23, 1990; FTR Amdt. 15, 56 FR 10379, Mar. 12, 1991; FTR Amdt.24, 57 FR 1112, Jan. 10, 1992; FTR Amdt. 26, 57 FR 28636, June 26, 1992; FTR Amdt. 28, 58 FR8547, Feb. 16, 1993; FTR Amdt. 35, 59 FR 10997, Mar. 9, 1994; FTR Amdt. 43, 60 FR 2536, Jan.10, 1995; FTR Amdt. 46, 61 FR 3838, Feb. 2, 1996; FTR Amdt. 57, 62 FR 8174, Feb. 24, 1997; FTRAmdt. 71, 63 FR 14638, Mar. 26, 1998]

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APPENDIX C TO PART 302–11—FEDERAL TAX TABLES FOR RIT ALLOWANCE—YEAR2

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1987

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1983, 1984, 1985, and 1986.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

11 ............................................ $4,650 $6,481 $7,763 $10,309 $10,400 $13,719 $5,811 $7,08115 ............................................ 6,481 21,979 10,309 31,379 13,719 40,020 7,081 19,60228 ............................................ 21,979 33,433 31,379 47,903 40,020 58,705 19,602 31,57235 ............................................ 33,433 58,810 47,903 88,015 58,705 101,432 31,572 54,12038.5 ......................................... 58,810 ................ 88,015 ................ 101,432 ................ 54,120 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1988

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1983, 1984, 1985, 1986, and 1987.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,260 $23,920 $9,440 $34,215 $12,500 $43,410 $6,200 $21,88028 ............................................ 23,920 52,310 34,215 77,300 43,410 88,740 21,880 47,47533 ............................................ 52,310 113,370 77,300 166,910 88,740 197,820 47,475 133,41528 ............................................ 113,370 ................ 166,910 ................ 197,820 ................ 133,415 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1989

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1983, 1984, 1985, 1986, 1987, 1988.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,320 $24,111 $9,061 $33,963 $12,940 $43,397 $6,723 $23,08928 ............................................ 24,111 50,311 33,963 71,688 43,397 84,030 23,089 54,17733 ............................................ 50,311 110,883 71,688 164,538 84,030 198,284 54,177 145,52328 ............................................ 110,883 ................ 164,538 ................ 198,284 ................ 145,523 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1990

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1983, 1984, 1985, 1986, 1987, 1988, or 1989.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,556 $25,167 $9,824 $35,312 $12,652 $44,759 $6,885 $23,089

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Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

28 ............................................ 25,167 51,042 35,312 75,233 44,759 84,283 23,089 50,14733 ............................................ 51,042 112,588 75,233 170,564 84,283 200,559 50,147 148,10728 ............................................ 112,588 ................ 170,564 ................ 200,559 ................ 148,107 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1991

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1983, 1984, 1985, 1986, 1987, 1988, 1989,or 1990.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $5,754 $26,242 $10,177 $36,611 $13,093 $46,770 $7,120 $23,97728 ............................................ 26,242 55,330 36,611 78,894 46,770 94,598 23,977 47,90831 ............................................ 55,330 ................ 78,894 ................ 94,598 ................ 47,908 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1992

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1985, 1986, 1987, 1988, 1989, 1990, or 1991.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,190 $27,963 $10,864 $38,611 $14,316 $50,219 $7,819 $25,62928 ............................................ 27,963 58,786 38,611 83,158 50,219 101,123 25,629 50,93931 ............................................ 58,786 ................ 83,158 ................ 101,123 ................ 50,939 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1993

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1985, 1986, 1987, 1988, 1989, 1990, 1991,or 1992.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,289 $28,621 $11,017 $39,541 $14,584 $51,229 $7,740 $26,14528 ............................................ 28,621 60,303 39,541 85,315 51,229 103,223 26,145 52,22631 ............................................ 60,303 ................ 85,315 ................ 103,223 ................ 52,226 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1994

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1985, 1986, 1987, 1988, 1989, 1990, 1991,1992, or 1993.

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Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,492 $30,068 $11,603 $43,304 $15,846 $55,773 $7,738 $27,85528 ............................................ 30,068 67,256 43,304 97,172 55,773 115,653 27,855 58,98031 ............................................ 67,256 134,936 97,172 155,995 115,653 167,653 58,980 86,84236 ............................................ 134,936 273,705 155,995 284,250 167,653 277,401 86,842 142,54539.6 ......................................... 273,705 ................ 284,250 ................ 277,401 ................ 142,545 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1995

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1985, 1986, 1987, 1988, 1989, 1990, 1991,1992, 1993, or 1994.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filingseparately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,643 $30,783 $11,937 $44,304 $16,387 $57,249 $8,171 $28,63728 ............................................ 30,783 68,684 44,304 102,201 57,249 119,362 28,637 59,01731 ............................................ 68,684 139,546 102,201 163,966 119,362 173,514 59,017 88,34136 ............................................ 139,546 283,746 163,966 294,200 173,514 286,217 88,341 147,65039.6 ......................................... 283,746 ................ 294,200 ................ 286,217 ................ 147,650 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1996

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1987, 1988, 1989, 1990, 1991, 1992, 1993,1994, or 1995.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $6,885 $31,807 $12,295 $45,572 $17,027 $59,055 $8,229 $29,60028 ............................................ 31,807 70,867 45,572 105,805 59,055 123,190 29,600 61,24531 ............................................ 70,867 144,170 105,805 168,990 123,190 179,414 61,245 90,61136 ............................................ 144,170 292,883 168,990 301,968 179,414 295,681 90,611 150,77939.6 ......................................... 292,883 ................ 301,968 ................ 295,681 ................ 150,779 ................

FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1997

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1987, 1988, 1989, 1990, 1991, 1992, 1993,1994, 1995, or 1996.

Marginal tax rate (percent)

Single taxpayer Heads of household Married filing jointly/qualifying widows and

widowers

Married filing sepa-rately

Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $7,067 $32,674 $12,963 $46,966 $16,798 $59,856 $8,702 $29,66928 ............................................ 32,674 71,647 46,966 104,632 59,856 123,931 29,669 62,02331 ............................................ 71,647 141,006 104,632 161,381 123,931 180,221 62,023 92,07236 ............................................ 141,006 288,900 161,381 293,567 180,221 299,695 92,072 152,83539.6 ......................................... 288,900 ................ 293,567 ................ 299,695 ................ 152,835 ................

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FEDERAL MARGINAL TAX RATES BY EARNED INCOME LEVEL AND FILING STATUS—TAX YEAR1998

The following table is to be used to determine the Federal marginal tax rate for Year 2 forcomputation of the RIT allowance as prescribed in § 302–11.8(e)(1). This table is to be used foremployees whose Year 1 occurred during calendar years 1988, 1989, 1990, 1991, 1992, 1993, 1994,1995, 1996, or 1997.

Marginal tax rate Single taxpayer Heads of household Married filing jointly/qualifying widows &

widowers

Married filing sepa-rately

Percent Over But notover Over But not

over Over But notover

Over But notover

15 ............................................ $7,229 $33,530 $12,964 $48,232 $16,858 $61,069 $8,685 $30,35128 ............................................ 33,530 73,135 48,232 109,311 61,069 126,880 30,351 63,86331 ............................................ 73,135 145,648 109,311 177,378 126,880 184,945 63,863 92,55036 ............................................ 145,648 299,410 177,378 321,683 184,945 308,061 92,550 152,71539.6 ......................................... 299,410 ................ 321,683 ................ 308,061 ................ 152,715 ................

[54 FR 20332, May 10, 1989, as amended by FTR Amdt. 5, 55 FR 1676, Jan. 18, 1990; FTR Amdt.15, 56 FR 10380, Mar. 12, 1991; FTR Amdt. 24, 57 FR 1114, Jan. 10, 1992; FTR Amdt. 28, 58 FR8549, Feb 16, 1993; FTR Amdt. 35, 59 FR 10997, Mar. 9, 1994; FTR Amdt. 43, 60 FR 2536, Jan. 10,1995; FTR Amdt. 46, 61 FR 3840, Feb. 2, 1996; FTR Amdt. 57, 62 FR 8174, Feb. 24, 1997; 63 FR14639, Mar. 26, 1998]

APPENDIX D TO PART 302–11—PUERTO RICO TAX TABLES FOR RIT ALLOWANCE

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1987

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

25.66 ...................................................................................................... .................... $25,000 .................... ....................33.35 ...................................................................................................... .................... .................... .................... $25,00047.03 ...................................................................................................... $25,000 50,000 .................... ....................50.00 ...................................................................................................... 50,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1988

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... $25,000 .................... ....................25 ........................................................................................................... .................... .................... .................... $25,00041 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1989

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... $25,000 .................... ....................25 ........................................................................................................... .................... .................... .................... $25,00038 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1990

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

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Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... $25,000 .................... ....................25 ........................................................................................................... .................... .................... .................... $25,00041 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1991

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... $25,000 .................... ....................25 ........................................................................................................... .................... .................... .................... $25,00036 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1992

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... $25,000 .................... ....................25 ........................................................................................................... .................... .................... .................... $25,00036 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1993

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... .................... .................... $25,00025 ........................................................................................................... .................... $25,000 .................... ....................36 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1994

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

15 ........................................................................................................... .................... .................... .................... $25,00025 ........................................................................................................... .................... $25,000 .................... ....................36 ........................................................................................................... $25,000 .................... $25,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1995

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

12 ........................................................................................................... .................... .................... .................... $25,00018 ........................................................................................................... .................... $25,000 .................... ....................31 ........................................................................................................... .................... .................... $25,000 $50,00033 ........................................................................................................... $25,000 .................... $50,000 ....................

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PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1996

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate (percent)Single filing status Any other filing status

Over But not over Over But not over

12 ........................................................................................................... .................... .................... .................... $25,00018 ........................................................................................................... .................... $25,000 .................... ....................31 ........................................................................................................... $25,000 $50,000 $25,000 $50,00033 ........................................................................................................... $50,000 .................... $50,000 ....................

PUERTO RICO MARGINAL TAX RATES BY EARNED INCOME LEVEL—TAX YEAR 1997

The following table is to be used to determine the Puerto Rico marginal tax rate for com-putation of the RIT allowance as prescribed in § 302–11.8(e)(4)(i).

Marginal tax rate Single filing status Any other filing status

Percent Over But not over Over But not over

12 ........................................................................................................... .................... .................... .................... $25,00018 ........................................................................................................... .................... $25,000 .................... ....................31 ........................................................................................................... $25,000 50,000 $25,000 50,00033 ........................................................................................................... 50,000 .................... 50,000 ....................

[FTR Amdt. 30, 58 FR 15438, Mar. 23, 1993, as amended by FTR Amdt. 35, 59 FR 10997, Mar.9, 1994; FTR Amdt. 43, 60 FR 2536, Jan. 10, 1995; FTR Amdt. 46, 61 FR 3840, Feb. 2, 1996; FTRAmdt. 57, 62 FR 8176, Feb. 24, 1997; FTR Amdt. 71, 63 FR 14639, Mar. 26, 1998]

PART 302–12—USE OF ARELOCATION SERVICES COMPANY

Subpart A—Agency’s Use of a RelocationServices Company

Sec.302–12.1 What are ‘‘relocation services’’?302–12.2 May we enter into a contract with a

relocation services company for the com-pany to provide relocation services?

302–12.3 What contracted relocation servicesmay we provide at Government expense?

302–12.4 May we separately contract foreach type of relocation service?

302–12.5 What is the purpose of contractingfor relocation services?

302–12.6 How must we administer a reloca-tion services contract?

302–12.7 What policies must we establishwhen offering our employees the servicesof a relocation services company?

302–12.8 What rules must we follow whencontracting for relocation services?

302–12.9 What are the income tax con-sequences that we must consider whenoffering relocation services?

302–12.10 What must we consider in decidingwhether to use the fixed-fee or cost-reim-bursable contracting method?

302–12.11 May we take title to an employee’sresidence?

302–12.12 Under a homesale program, maywe establish a maximum home valueabove which we will not pay for homesaleservices?

302–12.13 Under a homesale program, maywe pay an employee for losses he/she in-curs on the sale of a residence?

302–12.14 Under a homesale program, maywe direct the relocation services com-pany to pay an employee more than thefair market value of his/her residence?

302–12.15 May we use a relocation servicescontract for services which we are con-tractually bound to obtain under anothertravel services contract?

Subpart B—Employee’s Use of aRelocation Services Company

302–12.100 Am I eligible to use a relocationservices company?

302–12.101 Must my agency allow me to usea relocation services company?

302–12.102 Under what conditions may I usea relocation services company?

302–12.103 For what relocation services ex-penses will my agency pay?

302–12.104 If I use a contracted-for reloca-tion service that is a substitute for reim-bursable relocation allowance, will I bereimbursed for the relocation allowanceas well?

302–12.105 What expenses will my agencypay if I use a relocation services com-pany to ship household goods in excess ofthe maximum weight allowance?

302–12.106 What expenses will my agencypay if I use a relocation services com-pany to sell or purchase a residence forwhich I and/or a member(s) of my imme-diate family do not have full title?

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Relocation Allowances § 302–12.9

302–12.107 If my agency authorizes me toenter a homesale program, must I accepta buyout offer from the relocation serv-ices company?

302–12.108 What are the income tax con-sequences if I use a relocation servicescompany?

AUTHORITY: 5 U.S.C. 5738 and 20 U.S.C.905(c).

SOURCE: FTR Amdt. 62, 62 FR 13766, Mar.21, 1997, unless otherwise noted.

Subpart A—Agency’s Use of aRelocation Services Company

NOTE TO SUBPART A: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–12.1 What are ‘‘relocation serv-ices’’?

‘‘Relocation services’’ are servicesprovided by a private company under acontract with an agency to assist atransferred employee in relocating tothe new official station. Examples in-clude homesale programs, home mar-keting assistance, home finding assist-ance, and property management serv-ices.

§ 302–12.2 May we enter into a con-tract with a relocation servicescompany for the company to pro-vide relocation services?

Yes.

§ 302–12.3 What contracted relocationservices may we provide at Govern-ment expense?

You may pay for contracted reloca-tion services that are a substitute forreimbursable relocation allowances au-thorized throughout this chapter. Forexample, you may pay for homesaleservices as a substitute for residencesale expenses, or household goods man-agement services as a substitute fortransportation of household goods.

§ 302–12.4 May we separately contractfor each type of relocation service?

Yes, or you may combine severaltypes of relocation services in a singlecontract.

§ 302–12.5 What is the purpose of con-tracting for relocation services?

To improve the treatment of employ-ees who are directed to relocate to fa-cilitate the retention of a well-quali-fied workforce.

§ 302–12.6 How must we administer arelocation services contract?

You must balance the positive effectsthat availability of relocation serviceshas on employee mobility and moralewith any increased costs your agencymay experience as a result of providingrelocation services.

§ 302–12.7 What policies must we es-tablish when offering our employ-ees the services of a relocation serv-ices company? You must establishpolicies governing:

(a) The conditions under which youwill authorize an employee to use a re-location services company;

(b) Which employees you will allowto use a relocation services company;

(c) What relocation services you willoffer an employee; and

(d) Who will determine in each case ifan employee may use a relocation serv-ices company and what services will beoffered.

§ 302–12.8 What rules must we followwhen contracting for relocationservices?

The rules contained in the FederalAcquisition Regulations (FAR) (48CFR) and/or other procurement regula-tions applicable to you.

§ 302–12.9 What are the income taxconsequences that we must con-sider when offering relocation serv-ices?

Amounts you pay to a relocationservices company on behalf of an em-ployee may be taxable to the employee.In some cases, such as with certainhomesale programs, the amounts maynot be taxable. You must determinethe taxability of such payments, andpay a relocation income tax (RIT) al-lowance in accordance with part 302–11of this chapter on payments you deter-mine to be taxable to the employee.You may contact the Assistant ChiefCounsel (Income Tax & Accounting),Internal Revenue Service, 1111 Con-stitution Avenue, NW., Room 5501,

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–12.10

Washington, DC 20224, for informationon the income tax consequences of pay-ments you make to a relocation serv-ices company.

§ 302–12.10 What must we consider indeciding whether to use the fixed-fee or cost-reimbursable contract-ing method?

You must consider the following fac-tors in deciding which contractingmethod to use:

(a) Risk of alternative methods. Undera fixed fee contract, the relocationservices company bears all risks notexpressly contained in the contract.Under a cost-reimbursable contract,you must assume some or all risks and,therefore, must assume some manage-ment responsibilities under the con-tract as well. For example, under afixed fee homesale program you are notdirectly liable for losses incurred if aresidence does not sell immediately,while under a cost-reimbursablehomesale program you assume some orall risks of selling the residence.

(b) Cost of alternative methods. Underthe fixed fee method of contracting,the fee includes a cost component forrisk assumed by the relocation servicescompany. Under the cost-reimbursablemethod of contracting, you are directlyresponsible for some or all of the costsassociated with management of thecontract. In deciding whether to usecost-reimbursable contracting you,therefore, must consider the cost of re-sources you would require (includingpersonnel costs) to manage a cost-re-imbursable relocation services con-tract.

(c) Effect on the obligation of funds.You must obligate funds for a reloca-tion in the fiscal year in which the pur-chase order is awarded under the con-tract. Under the fixed fee contractingmethod, the amount of the relocationservices fee is fixed and you have abasis for determining the amount offunds to obligate. Under the cost-reim-bursable contracting method, you mustobligate funds based on an estimate ofthe costs that will be incurred. Whenopting for cost-reimbursable contract-ing you, therefore, should establish areliable method of computing fund ob-ligation estimates.

§ 302–12.11 May we take title to an em-ployee’s residence?

No, you may not take title to an em-ployee’s residence except as specifi-cally provided by statute. The statuteswhich form the basis for the provisionsof this part do not provide such author-ity.

§ 302–12.12 Under a homesale program,may we establish a maximum homevalue above which we will not payfor homesale services?

Yes. If a home exceeding the maxi-mum value is sold under your homesaleprogram, the employee will be respon-sible for any additional costs. Youmust establish a maximum amountcommensurate with your agency’s ex-perience. You may consider, amongother factors, budgetary constraints,the value range of homes in areaswhere you have offices, and the valuerange of homes previously entered inyour program.

§ 302–12.13 Under a homesale program,may we pay an employee for losseshe/she incurs on the sale of a resi-dence?

No. But, this does not preclude yourreimbursing a relocation services com-pany for losses incurred while the con-tractor holds the property.

§ 302–12.14 Under a homesale program,may we direct the relocation serv-ices company to pay an employeemore than the fair market value ofhis/her residence?

No. Under a homesale program youmay not direct the relocation servicescompany to pay an employee morethan the fair market value (as deter-mined by the residence appraisal proc-ess) of his/her home.

§ 302–12.15 May we use a relocationservices contract for services whichwe are contractually bound to ob-tain under another travel servicescontract?

No. For example, you may not use arelocation services contract to cir-cumvent the travel and transportationexpense payment system contract ifyou are a user of that contract.

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Relocation Allowances § 302–12.108

Subpart B—Employee’s Use of aRelocation Services Company

NOTE TO SUBPART B: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–12.100 Am I eligible to use a relo-cation services company?

Yes, if you are an employee who isauthorized to transfer.

§ 302–12.101 Must my agency allow meto use a relocation services com-pany?

No. Your agency determines if youmay use a relocation services company.

§ 302–12.102 Under what conditionsmay I use a relocation services com-pany?

You may use a relocation servicescompany if:

(a) You meet all conditions requiredfor you to be eligible for an allowancecontained in this chapter for which aservice provided by the relocation serv-ices company would serve as a sub-stitute, and you are authorized to use aspecific relocation service provided bythe company as a substitute;

(b) You have signed a service agree-ment; and

(c) You meet any specific conditionsyour agency has established.

§ 302–12.103 For what relocation serv-ices expenses will my agency pay?

Your agency will pay the relocationservices company s fees/expenses forthe services you are authorized to use.If your agency pays the relocationservices company for actual expensesthe company incurs on your behalf,payment to the company is limited towhat you would have received underthe direct reimbursement provisions ofthis chapter.

§ 302–12.104 If I use a contracted-forrelocation service that is a sub-stitute for reimbursable relocationallowance, will I be reimbursed forthe relocation allowance as well?

No.

§ 302–12.105 What expenses will myagency pay if I use a relocationservices company to ship householdgoods in excess of the maximumweight allowance?

Your agency will pay the portion ofthe fee attributable to 18,000 poundsnet weight. You must pay the rest.

§ 302–12.106 What expenses will myagency pay if I use a relocationservices company to sell or pur-chase a residence for which I and/or a member(s) of my immediatefamily do not have full title?

Your agency will pay the portion ofthe relocation services company’s feeattributable to your pro rata share ofthe residence, as determined in accord-ance with § 302–6.1(f) of this chapter.You must pay any portion of the fee at-tributable to other than your pro ratashare of the residence.

§ 302–12.107 If my agency authorizesme to enter a homesale program,must I accept a buyout offer fromthe relocation services company?

No. Your agency must give you theoption to accept or reject an offer fromthe relocation services company.

§ 302–12.108 What are the income taxconsequences if I use a relocationservices company?

You may incur income taxes on relo-cation services provided by a reloca-tion services company and paid for byyour agency. Section 82 of the InternalRevenue Code states there shall be in-cluded in gross income (as compensa-tion for services) any amount receivedor accrued, directly or indirectly, by anindividual as a payment for or reim-bursement of expenses of moving fromone residence to another residencewhich is attributable to employment.You will receive a relocation incometax (RIT) allowance if your agency de-termines that such expenses are tax-able. The Government does not assumeresponsibility for payment of yourtaxes, however, and you may wish toconsult a tax professional on incometax reporting.

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41 CFR Ch. 302 (7–1–98 Edition)Pt. 302–14

PART 302–14—HOME MARKETINGINCENTIVE PAYMENTS

Subpart A—Payment of Incentive to theEmployee

Sec.302–14.1 What is a ‘‘homesale program’’?302–14.2 What is the purpose of a home mar-

keting incentive payment?302–14.3 Am I eligible to receive a home

marketing incentive payment?302–14.4 Must my agency pay me a home

marketing incentive?302–14.5 Under what circumstances will I re-

ceive a home marketing incentive pay-ment?

302–14.6 How much may my agency pay mefor a home marketing incentive?

302–14.7 Are there tax consequences when Ireceive a home marketing incentive pay-ment?

Subpart B—Agency Responsibilities

302–14.100 How should we administer ourhome marketing incentive payment pro-gram?

302–14.101 What policies must we establishto govern our home marketing incentivepayment program?

302–14.102 What factors should we considerin determining whether to establish ahome marketing incentive payment pro-gram?

302–14.103 What factors should we considerin determining the amount of a homemarketing incentive payment?

AUTHORITY: 5 U.S.C. 5756.

SOURCE: FTR Amdt. 61, 62 FR 13763, Mar.21, 1997, unless otherwise noted.

Subpart A—Payment of Incentiveto the Employee

NOTE TO SUBPART A: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–14.1 What is a ‘‘homesale pro-gram’’?

It is a program offered by an agencythrough a contractual arrangementwith a relocation services company.The relocation services company pur-chases a transferred employee s resi-dence at fair market (appraised) valueand then independently markets andsells the residence.

§ 302–14.2 What is the purpose of ahome marketing incentive pay-ment?

To reduce the Government s reloca-tion costs by encouraging transferredemployees who participate in their em-ploying agency s homesale program toindependently and aggressively mar-ket, and find a bona fide buyer for,their residence. This significantly re-duces the fees/expenses their agenciesmust pay to relocation services compa-nies and effectively lowers the cost ofsuch programs.

§ 302–14.3 Am I eligible to receive ahome marketing incentive pay-ment?

Yes, if you are an employee who isauthorized to transfer and you other-wise meet requirements for sale of yourresidence at Government expense.

§ 302–14.4 Must my agency pay me ahome marketing incentive?

No. Your agency determines when itis in the Government s interest to offeryou a home marketing incentive.

§ 302–14.5 Under what circumstanceswill I receive a home marketing in-centive payment?

You will receive a home marketingincentive payment when:

(a) You enter your residence in youragency s homesale program;

(b) You independently and aggres-sively market your residence;

(c) You find a bona fide buyer foryour residence as a result of your inde-pendent marketing efforts;

(d) You transfer the residence to therelocation services company;

(e) Your agency pays a reduced fee/expenses to the relocation servicescompany as a result of your independ-ent marketing efforts; and

(f) You meet any additional condi-tions your agency has established, in-cluding but not limited to, mandatorymarketing periods, list price guide-lines, closing requirements, and resi-dence value caps.

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Relocation Allowances § 302–14.103

§ 302–14.6 How much may my agencypay me for a home marketing incen-tive?

Your agency determines the amountof your home marketing incentive pay-ment. The incentive payment, however,may not exceed the lesser of:

(a) Five percent of the price the relo-cation services company paid when itpurchased the residence from you; or

(b) The savings your agency realizedfrom the reduced fee/expenses it paid asa result of your finding a bona fidebuyer.

§ 302–14.7 Are there tax consequenceswhen I receive a home marketingincentive payment?

Yes, the home marketing incentivepayment is considered income. Con-sequently, you will be taxed, and youragency will withhold income and em-ployment taxes, on the home market-ing incentive payment. You will not,however, receive a withholding tax al-lowance (WTA) to offset the withhold-ing on your home marketing incentivepayment, nor will you receive a reloca-tion income tax (RIT) allowance pay-ment for substantially all of your Fed-eral, state and local income taxes onthe incentive payment.

Subpart B—AgencyResponsibilities

NOTE TO SUBPART B: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–14.100 How should we admin-ister our home marketing incentivepayment program?

Your goal in using an incentive pay-ment program is to reduce your overallrelocation costs. You must not make ahome marketing incentive paymentthat exceeds the savings you realizefrom the reduced fees/expenses you paythe relocation services company.

§ 302–14.101 What policies must we es-tablish to govern our home market-ing incentive payment program?

You must establish policies to gov-ern:

(a) The conditions under which youwill authorize a home marketing in-centive payment for an employee;

(b) The amount of the home market-ing incentive payment(s) you will offer(or the method you will use to computeyour home marketing incentive pay-ments); and

(c) Who will determine in each casewhether a home marketing incentivepayment is authorized.

§ 302–14.102 What factors should weconsider in determining whether toestablish a home marketing incen-tive payment program?

You should consider:(a) Whether the program will in-

crease the percentage of residencessold for which employees find a bonafide buyer. You should establish abenchmark for the percentage of resi-dences for which you expect employeesto find a bona fide buyer resulting inlower homesale costs to you. If yourhistorical percentage of employee-gen-erated sales is below your benchmark,a home marketing incentive paymentprogram may benefit you.

(b) The expected net savings from ahome marketing incentive paymentprogram.

§ 302–14.103 What factors should weconsider in determining the amountof a home marketing incentive pay-ment?

You should consider:(a) Amount of savings from reduced

fee/expenses paid to the relocationservices company. The home market-ing incentive payment program is in-tended to reduce your relocation costs.The amount of each home marketingincentive payment you make, there-fore, must not exceed the savings yourealize from the reduced fee you pay tothe relocation services company.

(b) Employee’s efforts in marketingthe residence. The purpose of a homemarketing incentive payment programis to encourage a transferred employeewho participates in a homesale pro-gram to independently and aggres-sively market his/her residence andfind a bona fide buyer.

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41 CFR Ch. 302 (7–1–98 Edition)Pt. 302–15

PART 302–15—ALLOWANCE FORPROPERTY MANAGEMENT SERV-ICES

Subpart A—General Rules for theEmployee

Sec.302–15.1 What are ‘‘property management

services’’?302–15.2 What is a ‘‘nonforeign area’’?302–15.3 What is a ‘‘foreign area’’?302–15.4 What are the purposes of the allow-

ance for property management services?302–15.5 In what situations may my agency

authorize payment for property manage-ment services?

302–15.6 Must my agency authorize paymentfor property management services?

302–15.7 What are the income tax con-sequences when my agency pays for myproperty management services?

302–15.8 Who is not eligible for payment forproperty management services?

Subpart B—Payment for Property Manage-ment Services for Employees Trans-ferred to a Foreign Area Post of Duty

302–15.100 Am I eligible for payment forproperty management services under thissubpart?

302–15.101 Will my agency pay for propertymanagement services when I transfer toa foreign area post of duty?

302–15.102 For what property may my agen-cy authorize payment under this sub-part?

302–15.103 How long may my agency payunder this subpart?

302–15.104 If my agency is paying for prop-erty management services under thissubpart and my service agreement ex-pires, what must I do to ensure that pay-ment for property management servicescontinues?

302–15.105 Must I repay property manage-ment expenses my agency paid under thissubpart if I elect to sell my nonforeignarea residence at Government expensewhen I am transferred from my currentforeign area post of duty to a differentnonforeign area official station than theone I left?

Subpart C—Payment for Property Manage-ment Services for Employees Trans-ferred to a Nonforeign Area From aForeign Area

302–15.200 Am I eligible for payment forproperty management services under thissubpart?

302–15.201 Under what circumstances willmy agency authorize payment under thissubpart?

302–15.202 When my agency authorizes pay-ment for me under this subpart, am I ob-ligated to use such services, or may Ielect instead to sell my residence at Gov-ernment expense?

302–15.203 For what property may my agen-cy authorize payment under this sub-part?

302–15.204 How long may my agency payunder this subpart?

302–15.205 If my agency authorized, and Ielected to receive, payment under thissubpart, may I later elect to sell my resi-dence at Government expense?

Subpart D—Agency Responsibilities

302–15.300 What governing policies must weestablish for the allowance for propertymanagement services?

AUTHORITY: 5 U.S.C. 5738; 20 U.S.C. 905(a);E.O. 11609, 36 FR 13474, 3 CFR, 1971–1975Comp., p. 586.

SOURCE: FTR Amdt. 60, 62 FR 13761, Mar.21, 1997, unless otherwise noted.

Subpart A—General Rules for theEmployee

NOTE TO SUBPART A: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–15.1 What are ‘‘property manage-ment services’’?

‘‘Property management services’’ areprograms provided by private compa-nies for a fee, which help an employeeto manage his/her residence at the oldofficial station as a rental property.These services typically include, butare not limited to, obtaining a tenant,negotiating the lease, inspecting theproperty regularly, managing repairsand maintenance, enforcing leaseterms, collecting the rent, paying themortgage and other carrying expensesfrom rental proceeds and/or funds ofthe employee, and accounting for thetransactions and providing periodic re-ports to the employee.

§ 302–15.2 What is a ‘‘nonforeign area’’?A ‘‘nonforeign area’’ is the United

States, its territories or possessions,the Commonwealths of Puerto Rico orthe Northern Mariana Islands, or theformer Canal Zone area (i.e., areas andinstallations in the Republic of Pan-ama made available to the UnitedStates pursuant to the Panama Canal

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Relocation Allowances § 302–15.102

Treaty of 1977 and related agreements(as described in 22 U.S.C. 3602(a))).

§ 302–15.3 What is a ‘‘foreign area’’?A ‘‘foreign area’’ means any area

that is not a ‘‘nonforeign area’’, as de-fined in § 302–15.2.

§ 302–15.4 What are the purposes ofthe allowance for property manage-ment services?

The purpose is to reduce overall Gov-ernment relocation costs when used in-stead of sale of the employee’s resi-dence at Government expense. Whenauthorized in connection with an em-ployee’s transfer to a foreign area postof duty, the purpose is to relieve theemployee of the costs of maintaining ahome in a nonforeign area while sta-tioned at a foreign area post of duty.

§ 302–15.5 In what situations may myagency authorize payment for prop-erty management services?

Your agency may authorize paymentwhen:

(a) You transfer in the interest of theGovernment to a foreign area post ofduty; or

(b) You are transferred back to a dif-ferent nonforeign area official stationthan the one you left when you weretransferred to a foreign area, and youare otherwise eligible for the sale ofyour residence at Government expense.

§ 302–15.6 Must my agency authorizepayment for property managementservices?

No, your agency determines when itis in the Government’s interest to au-thorize payment for these services andwhat procedures you must follow whenit authorizes such payment.

§ 302–15.7 What are the income taxconsequences when my agency paysfor my property management serv-ices?

You will be taxed on the amount ofexpenses your agency pays for propertymanagement services whether it reim-burses you directly or whether it paysa relocation services company to man-age your residence. Your agency mustpay you a relocation income tax (RIT)allowance for the additional Federal,State and local income taxes you incuron property management expenses it

reimburses you or pays on your behalf.You may wish to consult with a tax ad-visor to determine whether you willincur any additional tax liability, un-related to your agency’s payment ofyour property management expenses,as a result of maintaining your resi-dence as a rental property.

§ 302–15.8 Who is not eligible for pay-ment for property managementservices?

New appointees, employees assignedunder the Government EmployeesTraining Act (5 U.S.C. 4109), and em-ployees transferring wholly within anonforeign area.

Subpart B—Payment for PropertyManagement Services for Em-ployees Transferred to a For-eign Area Post of Duty

NOTE TO SUBPART B: Use of the pronouns‘‘I’’ and ‘‘you’’ throughout this subpart re-fers to the employee.

§ 302–15.100 Am I eligible for paymentfor property management servicesunder this subpart?

Yes, when your transfer to a foreignarea post of duty is in the interest ofthe Government and you and/or a mem-ber(s) of your immediate family holdtitle to a residence which you would beeligible to sell at Government expenseunder part 302–6 or 302–12 of this chap-ter if you were transferred to or withina nonforeign area.

§ 302–15.101 Will my agency pay forproperty management serviceswhen I transfer to a foreign areapost of duty?

Yes, when:(a) Your agency authorizes payment

for your property management serv-ices;

(b) You have signed a service agree-ment; and

(c) You meet any additional condi-tions that your agency has established.

§ 302–15.102 For what property maymy agency authorize paymentunder this subpart?

Payment may be authorized only onyour residence at the last nonforeignarea official station from which you

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41 CFR Ch. 302 (7–1–98 Edition)§ 302–15.103

transferred to a foreign area post ofduty.

§ 302–15.103 How long may my agencypay under this subpart?

Your agency may pay from the timeyou transfer to a foreign area post ofduty until one of the following occurs:

(a) You transfer back to an officialstation in a nonforeign area;

(b) You complete a service agreementat your post of duty and remain there,but do not sign a new service agree-ment; or

(c) You separate from Governmentservice.

§ 302–15.104 If my agency is paying forproperty management servicesunder this subpart and my serviceagreement expires, what must I doto ensure that payment for prop-erty management services contin-ues?

You must sign a new service agree-ment.

§ 302–15.105 Must I repay propertymanagement expenses my agencypaid under this subpart if I elect tosell my nonforeign area residenceat Government expense when I amtransferred from my current for-eign area post of duty to a differentnonforeign area official stationthan the one I left?

No. The authority for your agency topay for property management servicesunder this subpart when you are trans-ferred to a foreign area is separatefrom, and in addition to, the authorityto sell your residence at Governmentexpense under part 302–6 or 302–12 ofthis chapter, or to pay property man-agement services under subpart C ofthis part.

Subpart C—Payment for PropertyManagement Services for Em-ployees Transferred to a Non-foreign Area From a ForeignArea

NOTE: Use of the pronouns ‘‘I’’ and ‘‘you’’throughout this subpart refers to the em-ployee.

§ 302–15.200 Am I eligible for paymentfor property management servicesunder this subpart?

Yes, when:(a) You transfer in the interest of the

Government back to a different nonfor-eign area official station than the oneyou left when you transferred to a for-eign area; and

(b) You and/or a member(s) of yourimmediate family hold title to a resi-dence which you are eligible to sell atGovernment expense under part 302–6or 302–12 of this chapter.

§ 302–15.201 Under what cir-cumstances will my agency author-ize payment under this subpart?

Your agency will authorize paymentunder this subpart when:

(a) Your agency has determined thatpayment for property managementservices is more advantageous and costeffective for the Government than saleof your residence;

(b) You have signed a service agree-ment incident to your transfer back toa nonforeign area; and

(c) You meet any additional condi-tions that your agency has established.

§ 302–15.202 When my agency author-izes payment for me under this sub-part, am I obligated to use suchservices, or may I elect instead tosell my residence at Governmentexpense?

You are not obligated to use your au-thorized property management servicesallowance. You have the option ofchoosing to sell your residence at Gov-ernment expense or to use the propertymanagement services allowance.

§ 302–15.203 For what property maymy agency authorize paymentunder this subpart?

Your agency may authorize paymentonly on your residence at the old non-foreign area official station.

§ 302–15.204 How long may my agencypay under this subpart?

Your agency may pay for a periodnot to exceed two years from your ef-fective date of transfer.

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Relocation Allowances § 302–15.300

§ 302–15.205 If my agency authorized,and I elected to receive, paymentunder this subpart, may I laterelect to sell my residence at Gov-ernment expense?

Yes, provided:(a) Your agency allows you to change

your election of payment for propertymanagement expenses to an election ofsale of your residence at Governmentexpense; and

(b) Payment for the sale of your resi-dence at Government expense is offsetin accordance with your agency’s pol-icy established under § 302–15.300(d).

Subpart D—AgencyResponsibilities

NOTE TO SUBPART D: Use of the pronouns‘‘we’’ and ‘‘you’’ throughout this subpart re-fers to the agency.

§ 302–15.300 What governing policiesmust we establish for the allowancefor property management services?

You must establish policies and pro-cedures governing:

(a) When you will authorize paymentfor property management services foran employee who transfers to a foreignarea post of duty;

(b) Who will determine whether pay-ment for property management serv-

ices is appropriate when an employeetransfers to a foreign area post of duty;

(c) The circumstances under whichyou will authorize an employee who iseligible under this part for propertymanagement services to elect the useof property management services in-stead of the sale of his/her residence atGovernment expense under part 302–6or 302–12 of this chapter;

(d) Who will determine whether pay-ment for property management serv-ices is more advantageous and cost ef-fective than sale of an employee’s resi-dence at Government expense;

(e) If and when you will allow an em-ployee who was offered and acceptedpayment for property managementservices under subpart C of this part tochange his/her mind and elect insteadto sell his/her residence at Governmentexpense, and who will make that deter-mination; and

(f) How you will offset expenses youhave paid for property managementservices against payable expenses forsale of the employee’s residence whenan eligible employee who elected pay-ment for property management serv-ices later changes his/her mind andelects instead to sell his/her residenceat Government expense.

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