Yes, a vehicle allowance is treated as taxable income by the IRS and most state taxing authorities. You don't need to fill out additional forms for this. Did you file your taxes in 2022 and find out that this allowance increased your tax due? If that is the case you can change your W-4 to have them withhold the amount of extra tax you will pay. You can break the amount out by so much per paycheck to ensure you won't have a liability in 2023. However, since half the year is already gone you may need to double up on those amounts coming our of your paycheck.
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