Legal Question in Employment Law in Georgia

Tuition Reimbursement: The company policy states it will pay 100% reimbursement, up to a maximum of $7500 for graduate courses per calendar year. You have 60 days to submit the reimbursement claim. At the end of 2010, I took 2 classes and submitted a claim for $3K on Jan 4, 2011. I was previously told by the payroll coordinator that reimbursements count toward the year they are submitted. However, the HR department states that she is wrong and that statement is only applicable for tax purposes. According to HR, for 2010, I only had $1900 remaining on the 7500 max and therefore, I will not be paid the remainder. However, because the $1900 is being paid in a new calendar year, it will be non-taxable. Legally, should the $3K go towards this year's max or last year's? Are they correct in documenting it that way? If they are applying the money to last year's maximum allotment, are they not obligated to tax the $1900, considering I am still over the non-taxable $5250 allowed for 2010? There is nothing in writing stating that expenses will be charged towards the year they are incurred. My other argument is that had I been informed properly, I would have made different decisions, i.e, not taken one of the classes.

Thanks


Asked on 1/05/11, 8:09 am

1 Answer from Attorneys

Scott Riddle Law Office of Scott B. Riddle, LLC

No one here has the manual or policy. If it says what you wrote, it seems pretty clear and the plain meaning is tuition paid for the calendar year (presumable when classes were taken). If you found it ambiguous, YOU should have clarified. As far as the tax issue, that is a separate issue. Ask your CPA.

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Answered on 1/10/11, 8:26 am


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