CFR > Title 41 - Public Contracts and Property Management > SUBTITLE F—Federal Travel Regulation System > CHAPTER 301—TEMPORARY DUTY (TDY) TRAVEL ALLOWANCES (parts 301-1 to 301-76) > SUBCHAPTER B—ALLOWABLE TRAVEL EXPENSES (parts 301-10 to 301-31) > PART 301-11—PER DIEM EXPENSES > SUBPART F—Income Tax Reimbursement Allowance (ITRA), Tax Years 1995 and Thereafter (§301-11.601 to §301-11.640) > 301-11.627—If I elect a lump sum payment, how is the ITRA paid?

301-11.627—If I elect a lump sum payment, how is the ITRA paid?

(a) Reimbursement is as illustrated:
Lump Sum ITRA Tax Paid to Employee
ITRA reimbursement for tax year 1995 $14,435
Federal Tax liability on ITRA Reimbursement (@ 28%) 4,042
VA State tax liability (@ 5.75%) 830
Local tax liability 0
Total reimbursement 19,307
(b) Reimbursement of the ITRA and tax on the ITRA is a final lump sum payment with no further reimbursement. You will be responsible for any income taxes due on $19,307.