If an employee has an erroneous parking deduction withheld from the paycheck, the refund has to be processed by the Department of Transportation Services (DOTS). Since the deduction is taken from the paycheck on a pre-tax basis, the refund must be processed through Payroll Services in order to correct the employee’s taxable income. Parking refunds cannot be processed through Accounts Payable.
Parking refunds should be processed as a non-standard appointment/adjustment. DOTS needs to include the following in the notes:
- Reason for the erroneous deduction
- Pay period(s) in which the deduction was withheld
- Amount deducted in each pay period