TN 27 (05-12)

RS 01402.060 Company Car Provided as a Fringe Benefit

The value of having a company car for personal use (including commuting) is wages.

To determine the value of use of a company car:

  • For personal use, report the fair market value (FMV) amount as wages.

  • For commuting, the employer has the option of using the FMV or a flat rate of $1.50 each way the vehicle commutes.

NOTE: Refer any individual who has questions about the definition of a road vehicle or how to compute the value for personal use to the Internal Revenue Service (IRS).


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0301402060
RS 01402.060 - Company Car Provided as a Fringe Benefit - 05/15/2012
Batch run: 05/15/2012
Rev:05/15/2012