Tax miser is an exclusive lump sum relocation program available through our expense management partner. It has been designed to stretch lump sum dollars through innovative allocation of relocation expenditures to maximize employee tax deductions, capture HST/GST input tax credits and eliminate the need to tax the employee or new hire at the source.
The employee will have access to a superlative network of relocation suppliers who have been vetted for safety, reliability and performance and are ‘best in class” with emphasis on cost management. At Tippet Richardson Relocation, customer service and savings are part of our DNA. Our expense management partner will manage the lump sum program for our corporate client, reducing the administrative burden normally placed on the HR department.
This can be accomplished by passing the funds to our partner to manage from the beginning based on reimbursements, eliminating the need to tax at the source. Taxing at source can reduce funds available to the employee by 35% or more, at a time when the funds are most needed.
Reimbursing the employee for expenses enables the company to capture the HST/GST input tax credits adding another 5 to 15% to the fund. Professional relocation consultants will coach the employee on proper management of the funds to ensure that at tax time, funds are allocated to non–deductible expenses first. Now the employee can claim any spending over the allowance on tax-deductible expenditures and receive a tax rebate of 35% or more of their income. This is Tax miser at work! A Tax miser representative can assist you in reviewing your current Lump Sum program and by applying the Tax miser advantages to show you the savings and other benefits of Tax miser at work, including some creative tax treatments related to core flex policies.