Reduced Tax Risk
- Commuting expenses = distance minus normal commute for travel reimbursements
- All employees who are receiving a reimbursement (including student employees) are treated the same for taxability of reimbursements 120 days or more
- Reporting and taxation of student payments are governed by the IRS, most institutional funds to students should be awarded in the Student Financial Aid System
- Gift cards / cash to employees are taxable (unless the gift card was for human subject compensation)
- Gift cards must be purchased with the US Bank Declining Card or cash advancement (for human subject compensation) and required gift card documentation must be provided such as (Employee ID)
- Gifts to employees which exceed limits will be taxable and prior approval for the exception will be required
- Non-employees are taxed when gifts to the recipient total $600 or more in a CY
Documentation/Receipt Requirements
- All receipts, including restaurant receipts must be detailed and provide itemization
- Receipt requirements are consistent across all spending mechanisms. If a receipt is lost, the traveler/cardholder must make every possible attempt to contact the vendor and obtain a copy. If a copy cannot be obtained, a Missing Receipt Form must be completed and attached to the Expense Report
- The only exception to the missing receipt requirement would be receipts for travel related items (parking, tolls, taxi, etc.) that are under $25.00
- Refer to the Approvals, Documentation Requirements, and Exceptions page for applicable matrices, tables, and guidelines
Updated Limits
Business Meal Limits
| Meal | Dollar Limit |
|---|---|
| Breakfast | $22.50 |
| Lunch | $37.50 |
| Dinner | $70.00 (change from $60) |
Contributions, Gifts, and Awards Limits
| Contribution / Gift Type | Dollar Limit |
|---|---|
| Door & Raffle Prizes | $100 (change from $250) |
| Human Research Subjects | $100 (no change) |
| Tangible Sympathy Gifts | $100 (no change) |
| Employee Recognition Gifts | $100 (no change) |
| Employee Retirement Gifts | $400 (no change) |
Business Meetings with Alcohol
-
Alcohol can not exceed 25% of the business meal OR a single beverage per person
Updated Allowability
- No restriction on “one on one” meals. Meals cannot be provided as a matter of personal convenience. Meals for employee-only business meetings are allowed with an extended agenda such as trainings, workshops, and retreats, or to support emergency operations, or as allowed in collective bargaining agreements
- Home Internet-not allowed
- Transition relocation-not included, processed through HR/Payroll
- Lodging in private residence-language removed, allowed on an exception basis
- Mileage to campus satellites within 10 miles allowed only in special circumstances with prior approval
- Pre-travel authorization is no longer needed to travel out of state with no overnight stay
- Donations to organizations as an expression of sympathy in lieu of a tangible gift is not allowed
- Reimbursement for non-travel expenses are not allowable
- Meals in travel status are now allowed on the Bank Card
Approvals and Exceptions
- Fund administrator is not required for non-sponsored transactions. Employee and supervisor are always required for reimbursement requests as well as PI on sponsored funds.
- Prior approval is required for most exceptions to the standard as well as certain types of purchases:
- Events in excess of $500-Dean, Provost, VC or delegate
- Alcohol at events-Dean, Provost, VC or delegate
- Donations to external organizations-Dean, Provost, VC or delegate
- Gift cards-Controller’s Office
- Exceptions to the Standard-Dean, Provost or VC