Income Tax Reimbursement Allowance
Beginning January 1, 2015, changes became effective for Extended TDY travelers.
If you began extended TDY travel starting on or after January 1, 2015, you must now file an Extended TDY Tax Reimbursement Allowance (ETTRA).
If you reported to your TDY location prior to January 1, 2015, you will follow the Income Tax Reimbursement Allowance (ITRA) submission guidelines.
If you are on an extended TDY assignment for more than one year at the same location, then all benefit reimbursements for travel expenses paid directly to you, or indirectly on your behalf, are taxable income. Mandatory Federal Income Tax (FITW), Social Security Tax (SSTW) and Medicare Tax (MTW) are withheld from the taxable entitlements.
As an extended TDY traveler, the ITRA/ETTRA entitlement is available for you to claim through DFAS. The ITRA/ETTRA is an allowance designed to reimburse the majority of all federal, state, and local income taxes incurred during an extended TDY.
The following information explains the requirements for filing an ITRA/ETTRA claim. You must report your extended TDY W-2 as taxable income on your IRS Form 1040 tax return and state tax return (if applicable) in order to be eligible for an ITRA/ETTRA.
If you reported to your temporary duty location prior to January 1, 2015, please submit the following documents to file your ITRA:
If you reported to your temporary duty location on or after January 1, 2015, please submit the following documents to file your ETTRA:
NOTE: In order to avoid processing delays, please ensure:
- amount of income, as indicated on the Status Certification Form, matches the income tax documentation submitted with the ITRA/ETTRA claim and the correct Certification Form is used.
- Income Tax Return, Status Certification Form, and 1351-2 Travel Voucher are signed and currently dated by the traveler and spouse if filing jointly.
Failure to do so will result in your claim being returned without action until you provide a corrected claim and/or additional documentation to support the claim.
ALL ITRA/ETTRA Claims and DCP Students will submit claim to:
For additional information on the regulatory changes pertaining to ITRA/ETTRA, please see General Services Administration Federal Register Vol. 79 No. 162
Page updated February 5, 2016