41 C.F.R. Subpart A—Employee's Use of a Relocation Services Company
Title 41 - Public Contracts and Property Management
Note to subpart A: Use of pronouns “I”, “you”, and their variants throughout this subpart refers to the employee. Yes, if you are an employee who is authorized to transfer and such transfer includes residence transaction. Your agency must determine if you may use a relocation services company. You may use a relocation services company if you: (a) Meet all conditions required for you to be eligible for an allowance contained in this chapter for which a service provided by the relocation services company would serve as a substitute, and you are authorized to use a specific relocation service provided by the company as a substitute; (b) Have signed a service agreement; and (c) Meet any specific conditions your agency has established. Your agency will pay the relocation services company's fees/expenses for the services you are authorized to use. If your agency pays the relocation services company for actual expenses the company incurs on your behalf, payment to the company is limited to what you would have received under the direct reimbursement provisions of this chapter. No, if you use a contracted-for relocation service that is a substitute for reimbursable relocation allowance, you will not be reimbursed for the relocation as well. If you use a relocation services company to ship HHG in excess of the maximum weight allowance, your agency will pay the portion of the fee attributable to 18,000 pounds net weight. You must pay the rest. If you use a relocation services company to sell or purchase a residence for which you and/or a member(s) of your immediate family do not have full title, your agency will pay the portion of the relocation services company's fee attributable to your pro rata share of the residence, in accordance with §302–11.103 of this chapter. You must pay any portion of the fee attributable to other than your pro rata share of the residence. No, if your agency authorizes you to enter a homesale program, your agency must give you the option to accept or reject an offer from the relocation services company. You may incur income taxes on relocation services provided by a relocation services company and paid for by your agency. Section 82 of the Internal Revenue Code states there shall be included in gross income (as compensation for services) any amount received or accrued, directly or indirectly, by an individual as a payment for or reimbursement of expenses of moving from one residence to another residence which is attributable to employment. You will receive a relocation income tax (RIT) allowance if your agency determines that such expenses are taxable. The Government does not assume responsibility for payment of your taxes, however, and you may wish to consult a tax professional on income tax reporting.
Title 41: Public Contracts and Property Management
PART 302–12—USE OF A RELOCATION SERVICES COMPANY
Subpart A—Employee's Use of a Relocation Services Company
§ 302-12.1 Am I eligible to use a relocation services company?
§ 302-12.2 Who determines if I may use a relocation services company?
§ 302-12.3 Under what conditions may I use a relocation services company?
§ 302-12.4 For what relocation services expenses will my agency pay?
§ 302-12.5 If I use a contracted-for relocation service that is a substitute for reimbursable relocation allowance, will I be reimbursed for the relocation allowance as well?
§ 302-12.6 What expenses will my agency pay if I use a relocation services company to ship household goods in excess of the maximum weight allowance?
§ 302-12.7 What expenses will my agency pay if I use a relocation services company to sell or purchase a residence for which I and/or a member(s) of my immediate family do not have full title?
§ 302-12.8 If my agency authorizes me to enter a homesale program, must I accept a buyout offer from the relocation services company?
§ 302-12.9 What are the income tax consequences if I use a relocation services company?
