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U.S. Supreme Court

Nov. 7, 2007

Court OKs Salary as Reimbursement

The state Supreme Court on Monday held that employers may reimburse their employees for their business expenses by increasing their base salary or commissions instead of separately reimbursing them for their actual expenses.

By Maya Meinert
Daily Journal Staff Writer

      The state Supreme Court on Monday held that employers may reimburse their employees for their business expenses by increasing their base salary or commissions instead of separately reimbursing them for their actual expenses.
      The 7-0 ruling, under Labor Code Section 2802, holds that as long as there is an agreement providing a method for dete...

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