Some call it The Grossest Perk.

On tax day, it's the kind of benefit almost any worker would love. But this one is reserved primarily for the corporate world's top dogs.

Here's how it worked for Richard F. Smith, the chief executive of Atlanta-based Equifax.

In 2006, the newly appointed CEO of the credit reporting company earned a compensation package worth more than $7 million. Included were $80,000 for private club dues, $189,000 for relocation expenses, a $47,000 security system, $20,000 for life and liability insurance, and $13,000 for financial planning.

The Internal Revenue Service considers such perks to be taxable income.

Equifax's directors did what many boards do these days. They awarded him yet another benefit —- "grossing up" his pay by $171,935 to cover the taxes on the perks.

Most of the benefits were related to Smith's move from Kansas City, Equifax spokesman David Rubinger said. He was a longtime General Electric executive before taking the helm at Equifax in 2005.

"GE is a very generous company, and if you want to attract talent of that caliber you need to stay competitive in the marketplace," Rubinger said.

Smith's tax reimbursements for 2007 fell to $50,573.

Many corporate boards believe executives should not pay taxes on perks that are supposed to be free. But not everybody approves.

"With the salaries and levels of compensation that these CEOs are receiving in the first place, the idea that they would need any type of tax assistance is just absurd," said Paul Hodgson, an expert on compensation issues at the Corporate Library, an independent research firm. The firm provides data and information on corporate governance issues to businesses, institutional investors, law firms and other clients.

About one in five of the nation's large public companies paid part of their chief executive's tax bill, the Corporate Library found in a study of perks reported between February 2007 and February 2008. The findings are based on more detailed public disclosures aimed at transparency in executive benefits.

The group's report, published as "Tax Reimbursement: The Grossest Perk," was based on a study of more than 3,000 companies. The researchers found that about a dozen Georgia executives received a gross-up.

Smith, who collected the largest tax reimbursement among Georgia executives, was easily outpaced nationally by R. Chad Dreier, CEO of the Ryland Group, a California-based home builder. Dreier, whose 2006 compensation was nearly $31 million, got $5.8 million in tax reimbursements, including what he owed the IRS for the vesting of restricted stock.

Elsewhere in Georgia, Edward A. Schmitt, former chief executive of Atlanta-based chemical manufacturer Georgia Gulf Corp., received a tax gross-up of $107,597 in 2006 for insurance benefits. The directors felt it was only fair to cover the additional taxes on insurance benefits that supplemented his retirement income, said company spokesman Will Hinson.

ChoicePoint, the company that stockpiles an array of information about consumers, awarded CEO Derek V. Smith $79,864 in 2006 for "various perquisites" that were not specified.

Company filings show ChoicePoint paid $95,000 in 2006 for personal financial planning, $18,120 for club dues and $13,800 for life insurance premiums. Smith was also allowed personal use of a company plane at a reduced rate.

Megan Mahoney, a spokeswoman for ChoicePoint, described the gross-ups for Smith as "a standard element of executive compensation."

At Coca-Cola, CEO Neville Isdell was awarded $43,146 in 2006 to cover taxes on personal use of a corporate jet. Isdell earned a compensation package worth $32.3 million that year.

Coca-Cola said it requires Isdell to use the jet for security reasons and to ensure his availability at all times. As a result, the company covers the taxes associated with personal use of the jet. The company does not reimburse Isdell for taxes owed on other perks.

Hodgson, of the Corporate Library, said many companies argued that tax reimbursements for personal use of corporate aircraft are in order.

He isn't swayed.

"It's not as if it's a real bind for them," Hodgson said. " 'Oh, they're going to make me fly on the corporate jet again, and they're going to make me pay the taxes. It's so terrible, isn't it?' Come on, guys, give me a break."

Since 2006, more detailed federal disclosure requirements for executive compensation have raised a veil on perks awarded to corporate chiefs. The issue of tax gross-ups recently gained public attention stemming from an intense discussion during a congressional hearing.

Rep. Elijah Cummings (D-Md.) read parts of a 2006 e-mail in which a witness, CEO Angelo Mozilo, insisted that Countrywide Financial cover taxes associated with his wife's use of a corporate jet. If it didn't, Mozilo complained, she would have to fly commercial or stay home to avoid "extraordinary travel expenses."

Asked by Cummings why he pressed so hard on the tax reimbursement, Mozilo said, "It sounds out of whack today because it is out of whack, but in 2006, the company was doing great." Mozilo said he would not make such a request now, when Countrywide is struggling.

Hodgson blamed corporate boards for not exercising more restraint when awarding tax reimbursements.

"Once it got started, it kind of spun out from there," he said. "You get this whole list of benefits and the company is taking care of the taxes on all of them. It's like, 'When it is going to stop?' "

At some companies, the tax gross-ups aren't just for chief executives. Atlanta-based Newell Rubbermaid, for example, reimburses all employees for taxes on relocation expenses, said company spokesman David Doolittle.

At other companies, nobody gets help paying their taxes.

"We don't add any extra compensation to cover taxes on any compensation," said Norman Black, the spokesman for Sandy Springs-based UPS.

"It's just not the UPS way."

Synovus, the Columbus-based financial services company, does not usually reimburse executives for personal taxes. But the company made an exception in 2006 when it gave retiring CEO James H. Blanchard a painting worth $61,000. The company grossed-up his $4.9 million compensation package by $28,883 to cover the taxes.

Hodgson, of the Corporate Library, said he understands the Synovus board did not want Blanchard to pay taxes on a retirement gift. But he still sees the gross-up as excessive.

"When people retired, they used to give them clocks!" he said.

GEORGIA CEOS' TAX-FREE PERKS

Here's a look at Georgia executives whose publicly traded companies covered some of their taxes. The information was collected from proxies filed between February 2007 and February 2008.

COMPANY: Equifax

CEO: Richard F. Smith

TAXES PAID: $171,935

BENEFIT: Relocation expenses, other perks

COMPANY: Georgia Gulf Corp.

CEO: Edward A. Schmitt*

TAXES PAID: $107,597

BENEFIT: Insurance coverage

COMPANY: Choicepoint

CEO: Derek V. Smith

TAXES PAID: $79,864

BENEFIT: Various perks

COMPANY: Aaron Rents

CEO: R. Charles Loudermilk Sr.

TAXES PAID: $49,165

BENEFIT: Insurance coverage

COMPANY: Carters Inc.

CEO: Frederick J. Rowan II

TAXES PAID: $48,829

BENEFIT: Insurance, car and other perks

COMPANY: Coca-Cola

CEO: E. Neville Isdell

TAXES PAID: $43,146

BENEFIT: Aircraft use

COMPANY: AGL Resources

CEO: John W. Somerhalder II

TAXES PAID: $40,147

BENEFIT: Relocation expenses

COMPANY: Newell Rubbermaid

CEO: Mark D. Ketchum

TAXES PAID: $35,289

BENEFIT: Relocation expenses

COMPANY: Genuine Parts

CEO: Thomas C. Gallagher

TAXES PAID: $31,342

BENEFIT: Aircraft use

COMPANY: Synovus Financial

CEO: James H. Blanchard*

TAXES PAID: $28,883

BENEFIT: Painting presented at retirement

COMPANY: Rollins

CEO: Gary W. Rollins

TAXES PAID: $13,868

BENEFIT: Aircraft use

COMPANY: Suntrust Banks

CEO: L. Phillip Humann

TAXES PAID: $11,620

BENEFIT: Security, aircraft use, fin. planning

COMPANY: Coca-Cola Enterprises

CEO: John F. Brock

TAXES PAID: $7,852

BENEFIT: Relocation expenses

* now retired

Source: The Corporate Library (www.corporatelibrary.com), compiled from filings with the Securities and Exchange Commission.