Internal Revenue Service Passive Activity Loss Audit Technique Guide (ATG)

The benchmarking exercise included review of compensation and benefits for the State of New York and the State of New Jersey and significant public authorities in the New York City metropolitan region. In addition, with respect to compensation benchmarking of the Port Authority’s four largest line departments, five to seven public sector agencies and five to ten private sector companies were initially identified and reviewed for as potential peer comparables. Key business attributes of each potential peer were carefully scrutinized (., size of operation, number and age of facilities, operator vs. infrastructure provider, etc.). Ultimately, a smaller subset of peer groups was selected for each line department of the Port Authority based on review of these attributes (please refer to Appendix – A for details). .

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