Coding NC Equipment Transferred to Subject

[Tabitha Reinhardt]

I have a PI that is part of a clinical trial that involves the purchase of either a gym membership or a treadmill for the subject if they would prefer to not go to the gym and if the subject choose the treadmill object they are allowed to keep the treadmill at the end of the trial.  What I am not completely sure about is how we would code this purchase.  Would it be considered a subject payment (810101) which would make it taxable to the subject or would it be considered subject reimbursement (810102) or would it just be a considered non-capital equipment to the project?  Any advice would be appreciated.

[Heidi Huff]

Assuming that the option is allowable by the sponsor,  I suggest reaching out to Purchasing or the Tax Office to find out the correct way to treat this.  I asked David March his opinion on this and his response was that if it’s being used in part as an incentive, then it would most likely need to be coded as a subject payment for tax purposes.  Please contact myself or David March if you are unable to get any definitive ruling on this from either of those offices.