Claims for Relocation Expenses and Tax Withheld From Moving Expenses Reimbursement

A transferred employee's claims for reimbursement of real estate expenses and for refund of sums withheld for taxes from moving expenses reimbursed in 1975 were questioned. The employee may not be reimbursed for attorney's fees which were advisory or representational or for a residence loan service charge which fell under the definition of a finance charge. If the employee obtains itemization showing amounts of allowable charges included in the service fee, reimbursement for those charges may be considered. Refund of sums withheld for taxes may not be made on the basis of a court decision affecting reimbursements from 1965-1969 since the Tax Reform Act of 1969 provides for inclusion in gross income of amounts received as reimbursement for moving expenses.