The Foundation's expenditure policy allows expenses that have a supportable business purpose and do not result in the personal benefit to any individual including employees of the University of Georgia. If it is determined that a UGA employee has derived personal benefit from an expenditure of the Foundation, that information will be reported to the University of Georgia Payroll Department and may be included in the employee's taxable income reported on their W-2. the Foundation follows the guidelines explained in Internal Revenue Service Publication 15-B (as revised annually). For policies related to non-employees, please see the section related to reporting income on IRS Form 1099 MISC Income. Given the time needed to compile this information from Foundation expenditures, the period from November 1 to October 31 is used for taxable fringe benefit reporting for each calendar year ending December 31. Expenditures commonly considered to result in benefit to an individual include the following:
Any tickets or payments on behalf of other family members or friends would qualify as a taxable fringe to the employee and would be reported to UGA Payroll Department and could have an adverse effect on the employee's W-2 form or year-end paycheck. UGA Payroll Department will determine if any of the above items reported are considered fringe benefits to the employee and the effect it will have on that employee's W-2 or paycheck. the Foundation complies with UGA policy by reporting all potential fringe benefit type expenses by employee each year by November 30th.
In some cases the amount considered taxable to the employee must be estimated based on percentage used for business and personal purposes, such as car allowances and reimbursements.
Please contact the Foundation Accounting Office for questions regarding potential fringe benefits not listed above.