I am looking for some suggestions on supporting my proposal to our ELT in raising our receipt limits to $50 for corp card transactions. We are implementing a mandated corp credit card (moving from personal cards with reimbursement where receipt limit is $10) and My boss is looking for benchmarking info from other companies that currently do this. Can anyone help me out?
I have worked for a few different companies and our threshold was $25 and up for receipt requirement. I believe the IRS requires receipts for $75 and above. Hope you get more responses on this.
Reasons to increase include alignment with the IRS and less data storage in our system. Would like to hear from others on their reasons to increase to $75 as well.
I am not really a fan of reimbursing expenses without receipts as it depends really on the market you are implementing this. If USA or countries where is easy and possible, no problem, but in some European countries is really not an option (e.g. Italy, Germany, Sweden..). If your company had chosen to recover VAT on expenses also is not advisable.
OR if the company do it, I would really monitor behaviors of consistent missing receipts from employees. In a way, now there is a mobile application, where employee can take a picture in seconds, I find little room to avoid the obligation to include any kind of receipts. Statistically you will always have a % number of employees abusing the system, and testing how much they could abuse it.. If you don't put in place any controls, within a few months you will most likely have many surprises of expenses which are not really business related.
Apart your boss, is the CFO of your company also supporting this new approach of no receipts below certain amounts?