Tax Refund Dispute

[mrchongo]

I worked as EXPAT for global company, mid-2000 thru
mid-2002. I had an Expat agreement in writing. I was paid in
US$ to my US account by a division of the company in TX.
Repatriated 9/2002; terminated 10/31/2002. As in 2000 &
2001, payments for 2002 foreign income taxes were made on my
behalf by the company. The payments for 2002 were actually
made in 2003, after my termination, and reported on 2003 W-2
form as "hypothetical" 2003 income to me by company, subject
to withholding for IRS and state. I filed my 2003 returns
and received a considerable refund. Company wants the refund
by virtue of the Expat agreement used in prior years. I say
they have no claim to it since I had no employer/employee
relationship with them at the time the payment was made.
What do you say?

 

[Phil Marti]

I worked as EXPAT for global company, mid-2000 thru
mid-2002. I had an Expat agreement in writing. I was paid in
US$ to my US account by a division of the company in TX.
Repatriated 9/2002; terminated 10/31/2002. As in 2000 &
2001, payments for 2002 foreign income taxes were made on my
behalf by the company. The payments for 2002 were actually
made in 2003, after my termination, and reported on 2003 W-2
form as "hypothetical" 2003 income to me by company, subject
to withholding for IRS and state. I filed my 2003 returns
and received a considerable refund. Company wants the refund
by virtue of the Expat agreement used in prior years. I say
they have no claim to it since I had no employer/employee
relationship with them at the time the payment was made.
What do you say?

See a labor law lawyer. Tax law doesn't care about your
status when the payments are made, just what it was when the
payments were earned. This seems to be a question about the
interpretation of your Expat agreement.