BL Companies | Employee Handbook | 2024

Non-Reimbursable Vehicle Related Expenses The following expenses will not be reimbursed: ▪ Speeding tickets; ▪ Parking tickets; ▪ Automobile Insurance premiums for personal cars – included in IRS rate; ▪ Maintenance for personal cars – included in IRS rate; ▪ Depreciation or wear and tear for personal car – include in the IRS rate; ▪ If an employee chooses to use a personal car when a Company vehicle was available, the employee may not be reimbursed for mileage. Tolls and parking will still be reimbursed. Additional Coverage Offered for Rental Cars Employees should purchase the collision damage waiver when renting a car if the Company is entitled to recover the transportation expense from the client. If the rental car expense is to be charged to the Company, employees should decline the collision damage waiver. BL Companies has established an account with Enterprise. All vehicle rentals should go through this account which is billed directly to the Company. The employee should not have to use his or her personal credit card.

Personal Use of Company Vehicles General Policy – Company vehicles are NOT to be used for personal purposes. Under IRS rules, personal use of a Company vehicle constitutes compensation to the employee and is taxable income to the employee. Commuting between home and office is personal use according to IRS regulations. Accordingly, if an employee uses a Company vehicle for a personal use (including commuting), then the employee must report the use to the Accounting Department, on an annual basis. IRS requires the value of the use to be included on the employee’s W-2. The employee must pay tax on that use as income. Vehicle Usage When traveling on Company business, employees should use vehicles in this order of priority: ▪ A Company vehicle should be used if one is available; ▪ If no Company vehicle is available, the employee’s personal car should normally be used (except for long trips, see below); ▪ For long trips, the employee may investigate a rental car and, if it is more economical, use it instead of a personal car. A rental should not be used if a Company vehicle is available.

Under IRS rules, personal use of a Company vehicle constitutes compensation to the employee and is taxable income to the employee.

48 Employee Handbook BL Companies