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).