B-170446, JUN 4, 1971

B-170446, JUN 4, 1971

CIVILIAN EMPLOYEE - TRAVEL EXPENSES FOR DEPENDENTS CONCERNING CLAIM BY JAMES CULBERT, AN EMPLOYEE OF THE ARMY DEPARTMENT, FOR ADDITIONAL TRAVEL EXPENSES FOR THE PRIOR RETURN TRAVEL OF HIS DEPENDENTS. ALTHOUGH ADDITIONAL EXPENSES FOR SUCH RETURN TRAVEL FROM CHARLESTON, S.C., TO ABILENE, TEXAS, WOULD ORDINARILY HAVE BEEN PAID, SINCE EMPLOYEE DID NOT RETURN TO THE U.S. ON LEAVE AND IN LIEU THEREOF WAS TRANSFERRED TO HIGHLAND PARK, N.J., NO ENTITLEMENT FOR EXPENSES FROM ABILENE TO HIGHLAND PARK EXISTED, AS REIMBURSEMENT WAS MADE FOR TRANSFER TO HIGHLAND PARK FROM THE FOREIGN DUTY STATION.

TO MR. JAMES N. CULBERT:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF MARCH 8, 1971, WITH ENCLOSURES, CONCERNING YOUR CLAIM FOR ADDITIONAL EXPENSES INCIDENT TO YOUR TRANSFER OF STATION AS AN EMPLOYEE OF THE DEPARTMENT OF THE ARMY AND TRAVEL EXPENSES FOR YOUR STUDENT DEPENDENTS. YOUR CLAIM WAS THE SUBJECT OF OUR DECISION OF JANUARY 11, 1971, B-170446, TO YOU.

IN ACCORDANCE WITH THE DECISION OF JANUARY 11, 1971, OUR CLAIMS DIVISION ISSUED A CERTIFICATE OF SETTLEMENT DATED FEBRUARY 16, 1971, ALLOWING YOU THE GROSS AMOUNT OF $477.17, LESS $10.01 FEDERAL WITHHOLDING TAX OR A NET AMOUNT OF $467.16. THE SETTLEMENT MERELY STATED THAT THIS REPRESENTED REIMBURSEMENT OF ADDITIONAL TRAVEL EXPENSES AND ALLOWANCES UNDER TRAVEL AUTHORIZATION DATED APRIL 16, 1969, AS AMENDED. IN REQUESTING RECONSIDERATION OF THE MATTER, YOU RETURNED CHECK NO. 7,706,437, DATED FEBRUARY 22, 1971, IN THE AMOUNT OF $467.16 WHICH WAS ISSUED PURSUANT TO OUR SETTLEMENT.

YOU ALSO ENCLOSED A POSTAL MONEY ORDER IN THE AMOUNT OF $6 REPRESENTING THE FEE FOR INTERNATIONAL DRIVERS LICENSE WHICH WAS ERRONEOUSLY PAID TO YOU IN 1966 AS A REIMBURSABLE ITEM.

WITH YOUR LETTER YOU ALSO ENCLOSED FORM W-2 (WAGE AND TAX STATEMENT 1971) PREPARED BY THE ARMY FINANCE CENTER, INDIANAPOLIS, INDIANA, WHICH SHOWS THE SUM OF $477.17 AS WAGES PAID AND $10.01 WITHHELD WITH THE NOTATION "TVL EXP." YOU SAY THAT SINCE ONLY APPROXIMATELY $50 OF THE AMOUNT DUE YOU WAS TAXABLE, THIS WILL RESULT IN PAYING TAXES ON MONEY REIMBURSED FOR STUDENT TRAVEL WHICH HAS BEEN TAXED AS INCOME ON PREVIOUS TAX RETURNS. YOU REQUEST THAT THE AMOUNT PAYABLE BE SEPARATED SHOWING THE AMOUNT TAXABLE AS PERMANENT CHANGE OF STATION TRAVEL AND THE AMOUNT OF REIMBURSEMENT FOR STUDENT TRAVEL. YOU ASK THAT COST FOR STUDENT TRAVEL BE ITEMIZED.

THE SETTLEMENT OF FEBRUARY 16, 1971, WAS COMPUTED AS FOLLOWS:

JULY 1969 - LIMOUSINE FARE FROM AIRPORT IN

NEW YORK TO HIGHLANDS, NEW JERSEY $ 26.30

JULY 1969 - LAUNDRY AND LODGING COST FOR YOU

AND SON JAMES (LESS $8.21 TAX) 41.07

JULY 31, 1969 - TEMPORARY QUARTERS ALLOWANCE FOR

ONE-HALF DAY (LESS $1.80 TAX) 9.00

1967 AND 1968 - TRANSPORTATION OF STUDENT

DEPENDENT CHILDREN (3) 402.60

GROSS AMOUNT $478.97

LESS TAX 10.01

NET AMOUNT $468.96 IT WILL BE SEEN THAT THE SETTLEMENT SHOULD HAVE BEEN IN THE GROSS AMOUNT OF $478.97 INSTEAD OF $477.17, AND THAT A DIFFERENCE OF $1.80 IS DUE YOU UNDER THAT SETTLEMENT. THE ABOVE COMPUTATION SHOWS THE ALLOWABLE EXPENSES INCIDENT TO YOUR TRANSFER OF STATION IN 1969 AND THE AMOUNT OF REIMBURSEMENT FOR STUDENT TRAVEL IN 1967 AND 1968.

ANY NECESSARY ADJUSTMENT YOU BELIEVE SHOULD BE MADE IN THE AMOUNT SHOWN ON YOUR W-2 FORM IS A MATTER PRIMARILY WITHIN THE JURISDICTION OF THE DEPARTMENT OF THE ARMY AND THE INTERNAL REVENUE SERVICE. HOWEVER, WE SEE NO REASON WHY A COPY OF THIS LETTER SHOULD NOT SUFFICE TO SHOW THE NATURE OF THE AMOUNTS ALLOWED.

YOU HAVE NOW SUBMITTED A STATEMENT OF ACCOUNT FROM THE TEXAS WOMAN'S UNIVERSITY SHOWING LODGING AND LAUNDRY COST FOR YOUR DAUGHTER CHRISTINE L. CULBERT FOR JULY 1 TO 13, 1969, TOGETHER WITH AN ITEMIZATION OF EXPENSES FOR FOOD FOR HER FOR THE SAME PERIOD AND AN ITEMIZATION FOR YOUR SON JAMES FOR THE PERIOD JULY 1 TO 30, 1969. IN VIEW THEREOF, AN ADDITIONAL AMOUNT WILL BE ALLOWED FOR TEMPORARY QUARTERS ALLOWANCE IN ACCORDANCE WITH APPLICABLE REGULATIONS.

A SUPPLEMENTAL SETTLEMENT WILL ISSUE IN YOUR FAVOR FOR AMOUNTS FOUND DUE IN ACCORDANCE WITH THE ABOVE.

WE ARE RETURNING CHECK NO. 7,706,437, IN THE AMOUNT OF $467.16 WHICH MAY BE CASHED BY YOU WITHOUT PREJUDICE TO YOUR SUPPLEMENTAL CLAIM. WE ARE ALSO RETURNING YOUR W-2 FORM AND COPY OF OUR SETTLEMENT OF FEBRUARY 16, 1971, SUBMITTED WITH YOUR LETTER.

AS TO THE STATEMENT IN OUR DECISION OF JANUARY 11, 1971, CONCERNING PRIOR RETURN TRAVEL OF DEPENDENTS, WE POINT OUT THAT YOU ORDINARILY WOULD HAVE BEEN ENTITLED TO ADDITIONAL TRAVEL EXPENSES OF SUCH DEPENDENTS FROM CHARLESTON, SOUTH CAROLINA TO YOUR RESIDENCE IN ABILENE, TEXAS. HOWEVER, SINCE YOU DID NOT RETURN TO THE UNITED STATES ON LEAVE AND IN LIEU THEREOF WERE TRANSFERRED TO HIGHLAND PARK, NEW JERSEY, YOU HAD NO ENTITLEMENT TO THE EXPENSES OF YOUR DEPENDENTS FROM ABILENE TO HIGHLAND PARK. SINCE YOU WERE REIMBURSED FOR THE LATTER AND RECEIVED NOTHING FOR THE FORMER, IT WAS OUR VIEW THAT ONE OFFSET THE OTHER.