{"data":{"id":"us/41-cfr-302-17.22","jurisdiction":"us","citation":"41 CFR 302-17.22","heading":"-17.22 Procedures for calculation and payment of the WTA.","body":"Each time an agency pays a covered, taxable relocation expense, regardless of whether it is a reimbursement, allowance, or direct payment to a vendor, it is considered “supplemental wages” as defined in 26 CFR 31.3402(g)-1(a) (see also IRS Publication 15, Employer's Tax Guide). Employees owe taxes on the WTA itself because, like most other relocation allowances, it is taxable income. To reimburse employees for the taxes on the WTA itself, agencies compute the WTA by using the grossed-up withholding formula in this section and the appropriate supplemental wage rate, as specified in IRS Publication 15. This rate, along with examples of how to calculate the WTA, is published in an FTR bulletin available at https://gsa.gov/ftrbulletins. The formula for calculating the WTA is: WTA = R/(1 − R) × Expense, where R is the withholding rate for supplemental wages.","path":["Title 41—Public Contracts and Property Management","Subtitle F—Federal Travel Regulation System","CHAPTER 302—RELOCATION ALLOWANCES","SUBCHAPTER F—MISCELLANEOUS ALLOWANCES","PART 302-17—TAXES ON RELOCATION EXPENSES","Subpart B—The Withholding Tax Allowance (WTA)"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-41.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:26:05Z","sha256":"08a6b9cb40bdf288940a2054434582605c4d7300152e899dd13c042bf48b1a83","source_id":"us-cfr","stale":true,"prev":"us/41-cfr-302-17.21","next":"us/41-cfr-302-17.30"},"notice":"GroundRules: Original legal text. Not legal advice."}