A trading employee is an accountable person. This means that after a business trip, he is obliged to report for the money spent by providing an advance report. The sentence also must receive compensation if it was necessary to spend more. Or vice versa, return the rest, if any.
It also happens that the accountable person does not provide an advance report on time. In this article we will tell you what actions should be taken if the sentence has not reported on his expenses on time.
How long should I provide a report
To receive money for a business trip, the employee writes a statement that indicates the goal, that is, why he needs money. In order for the application to enter into force, it must be signed by the leader.
An indication of the Bank of Russia dated 05.10.2020 No. 5587-U established that from 10/31/2020 it is not necessary to indicate the amount of the advance and the deadline during which expenses are planned.
The requirement was also excluded to submit an advance report within three days after returning from a business trip. This means that now the sentence must report during the period set by the employer. This should be spelled out in the internal acts of the company.
Additionally, employers can now draw up one order for several cash issuance to one or several employees. In this case, it is necessary to write a name, the amount and deadline during which expenses are planned for each employee.
What to do if the employee did not provide an advance report on time
It happens that the sentence does not provide an advance report on the time specified by the employer. How will this affect the company?
- The amount that the sentence was spent will not be able to pay to expenses when calculating income tax. This will happen because these expenses are not documented;
- During a tax audit, employees of the tax inspectorate may be charged with taxes. If this does not suit the employer, you will have to understand the court.
- The rules for conducting cash transactions will be violated.
If the employee did not return the rest of the funds after a business trip, the employer has the right to withhold money from the salary of the sentence within a month after the end of the delivery time. This is possible provided that the employee does not dispute the employer’s decision: the basis for retention and the amount.
Holding funds from wages is also possible if the business person does not have funds after a business trip. The employer holds the funds, and after the delivery of the advance report returns them.
The maximum deduction amount is 20% of each employee’s wage. If the amount that the employee has not returned more, then the salary will have to hold for several months.
Conclusions
If the employee did not submit an advance report on time, this indicates the problems of discipline in the company than about any violations. However, it is important to understand that the absence of documents for expenses threatens with proceedings with the tax inspectorate, which is unlikely to delight anyone.
In order to avoid such problems, the accounting department should make sure that all employees know about internal acts related to issuing the amounts under the report.
It will also not be superfluous to remind employees of the importance of providing an advance report on time.
