Solved: What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?
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What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

 
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Level 15

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

The value of a company car's personal use is taxable income.  That includes commuting, and the ability to use it on evenings and days off for personal use.  There is no set procedure in the tax law for you to add this income yourself to your tax return, it's supposed to be on your W-2.  If your employer refuses, there are one or two procedures that you could potentially use, although they would call the IRS' attention to your employer's failure to follow the law.  Best to get your employer to do it right the first time.
*Answers are correct to the best of my ability but do not constitute legal or tax advice.*
**If a post answers your question, choose it by clicking on "Mark as Best Answer".**

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Level 9

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

Did you use the company car for personal use?
Did you pay for any of the car's expenses?
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Level 15

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

Are you  W-2 employeer, or a 1099-MISC independent contractor?
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New Member

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

I do not pay for any expenses. I am a w-2 employee and I use the car to commute from home to work and other work related activities.
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Level 9

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

I think you need to ask your employer to correct things, and add the value of your personal use to your W-2.
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Level 15

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

Commuting to work is a personal use.
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New Member

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

Thank you! I really appreciate it!
Highlighted
Level 15

What is the process for reporting use of a company car when my employer does not withhold the tax from my wages?

The value of a company car's personal use is taxable income.  That includes commuting, and the ability to use it on evenings and days off for personal use.  There is no set procedure in the tax law for you to add this income yourself to your tax return, it's supposed to be on your W-2.  If your employer refuses, there are one or two procedures that you could potentially use, although they would call the IRS' attention to your employer's failure to follow the law.  Best to get your employer to do it right the first time.
*Answers are correct to the best of my ability but do not constitute legal or tax advice.*
**If a post answers your question, choose it by clicking on "Mark as Best Answer".**

View solution in original post

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