[Code of Federal Regulations]
[Title 41, Volume 4]
[Revised as of July 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 41CFR302-15.13]

[Page 198]
 
           TITLE 41--PUBLIC CONTRACTS AND PROPERTY MANAGEMENT
 
                   CHAPTER 302--RELOCATION ALLOWANCES
 
PART 302-15_ALLOWANCE FOR PROPERTY MANAGEMENT SERVICES--Table of Contents
 
                Subpart A_General Rules for the Employee
 
Sec. 302-15.13  What are the income tax consequences when my agency pays 
for my property management services?

    When your agency pays for your property management services, you 
will be taxed on the amount of expenses your agency pays for property 
management services whether it reimburses you directly or whether it 
pays a relocation service company to manage your residence. Your agency 
must pay you a relocation income tax (RIT) allowance for the additional 
Federal, State and local income taxes you incur on property management 
expenses it reimburses you or pays on your behalf.
    Note to Sec. 302-15.13: You may wish to consult with a tax advisor 
to determine whether you will incur any additional tax liability, 
unrelated to your agency's payment of your property management expenses, 
as a result of maintaining your residence as a rental property.