Gross-up Audit and Tax Reconciliation
Confirm payments made for mobility related reimbursements were calculated in accordance with corporate policy.
Keep your talent happy when you provide them with a stress-free relocation experience as it relates to their tax burden on payments received.
- Gross-up audit results are turned around within just a few days.
- Transferees simply provide our tax professionals with a pdf of all federal, state and local tax returns they filed, along with a pdf of their Relocation Tax Report.
- We calculate and document how much the transferee would have paid in taxes both “with” and “without” the move – the resulting difference, if positive, is then “grossed up” for the current year’s taxes.
- The scope of the reconciliation is to determine if the initial company paid gross-up was calculated following company policy.
- The review of the transferee’s tax return also verifies the employee’s income used in calculating the gross-up itself, and that the income used reflects the company policy.
Ultimately, companies make sure that they are keeping their employees “whole” and staying program compliant.