About | HeinOnline Law Journal Library | HeinOnline Law Journal Library | HeinOnline
LOG IN
LOG IN

B-229352 1 (1988-08-22)

handle is hein.gao/gaobadnen0001 and id is 1 raw text is: The ComptroUer General of the United States Washington, D.C. 20548 Decision Matterof: R. Lawrence Heller - Loan Origination Fee File: B-229352 Date: August 22, 1988 DIGEST A transferred employee claimed a loan origination fee of 3 percent, but the agency limited reimbursement to 1 percent. Absent a definitive showing that the customary charge in the area was greater, our decisions have limited reimbursement to 1 percent. Since the employee has not submitted sufficient evidence to satisfy this requirement, he may not be reimbursed for the additional 2 percent charged. DECISION This decision is in response to a request from an Authorized Certifying Officer, Central Region, Internal Revenue Service (IRS), Department of the Treasury. It concerns the entitlement of one of its employees to be reimbursed a 3 percent loan origination fee incident to a permanent change of station in October 1985. We conclude that the employee is limited to reimbursement equal to 1 percent of the loan for the following reasons. Mr. R. Lawrence Heller, an employee of the IRS, was transferred from Terra Haute, Indiana, to Indianapolis, Indiana, and he purchased a residence in the Indianapolis area. He requested reimbursement for a 3 percent loan origination fee ($1,800), but the agency allowed only 1 percent based on information received from the Department of Housing and Urban Development (HUD) servicing the Indianapolis area and on our decision in Roger J. Salem, 63 Comp. Gen. 456 (1984). The agency notes, however, that the HUD information was based upon the customary charges in the area for FHA/VA mortgages, not conventional rates, since HUD does not maintain those statistics. Mr. Heller contends that the agency regulations provide that a loan origination fee is payable if customarily paid in the locality of the residence. Further, ne states that he made contact with over 15 lending institutions in the

What Is HeinOnline?

HeinOnline is a subscription-based resource containing thousands of academic and legal journals from inception; complete coverage of government documents such as U.S. Statutes at Large, U.S. Code, Federal Register, Code of Federal Regulations, U.S. Reports, and much more. Documents are image-based, fully searchable PDFs with the authority of print combined with the accessibility of a user-friendly and powerful database. For more information, request a quote or trial for your organization below.



Contact us for annual subscription options:

Contact Us

Already a HeinOnline Subscriber?

Log In

profiles profiles most