Melissa is a corporate sales representative for Computer City.Melissa receives a monthly travel allowance from Computer City to cover her travel costs (transportation,food,lodging,entertainment,etc. ).If Melissa is required to account to Computer City for the use of the travel advance and to return any excess travel advance
I.Melissa will not have to show any aspect of the travel reimbursement or expenses incurred if she spends all of the reimbursement on valid travel expenses.
II.Melissa will have gross income to the extent her travel allowance used for travel expenses reimbursed.

Question

Melissa is a corporate sales representative for Computer City.Melissa receives a monthly travel allowance from Computer City to cover her travel costs (transportation,food,lodging,entertainment,etc. ).If Melissa is required to account to Computer City for the use of the travel advance and to return any excess travel advance
I.Melissa will not have to show any aspect of the travel reimbursement or expenses incurred if she spends all of the reimbursement on valid travel expenses.
II.Melissa will have gross income to the extent her travel allowance used for travel expenses reimbursed.
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Quizplus · Accepted Answer

If Melissa accounts for her expenses and returns any excess, she does not have to report the reimbursement as income, provided all expenses are valid.

Melissa Is a Corporate Sales Representative for Computer City