I concur with Bsch4477's answer, it is most likely not taxable for the reason's stated.
But, the bottom line may be how your employer handles it at W-2 time. If they do not include the value of the housing in box 1 of your W-2 (and they most likely won't), the housing value is not taxable to you.
Q. Is this nontaxable fringe benefits per Pub FB-15?
A. Maybe, depending on other details. More likely, this is the employer directly paying out of town business expenses. Either way, it should not be taxable to you.
