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STATEMENT uF POLICY <br />Automobile Allowances 6 Use of City Owned Vehicles <br />For the purposes of complying with Internal. Revenue Service <br />(IRS) regulations, for clarifying City rules regarding automobile <br />allowances and Lses of City owned vehicles, the following state- <br />ment is adopted: <br />I. AUTOMOBILE ALLOWANCE <br />As determined ')y the IRS, fixed periodic payments of <br />automobile allowances for business use of an employee owned <br />vehicle are included as taxable income and will be reported on <br />form w-2 .-nnua l ly. No income tax wi 1 i be withheld from the <br />ailowances and no FICA will be withheld from the allowances if <br />the employee provides the City Finance Department with <br />documentation of use of allowance for bona fide business <br />purposes. <br />II. CITY OWNED VEHICLES <br />Al 1. vehicles owned by the City are p.ov:ided the employee, for <br />bona fide business use. <br />a) Personal use, excludinq de minimis use, or those <br />vehicles not required to be used 'Inr comrrlating is hereby <br />prohibited. <br />b) Employees require,-: to use a City owned vehicle for <br />commuting are prohibited from further personal use, <br />excluding de minimis use. Those employees required to <br />commute in City vehicles for business reasons - lack of <br />vehicle storage space, security, necessity of responding to <br />call outs anci emergency situations. <br />