Guidelines for the Disbursement of Funds

90-Day Policy

All expenses must be adequately accounted for within 90 days or the expenses will be reported as taxable income to the employee and the travel card suspended.

This policy has been implemented to meet the "reasonable period of time" in the IRS accountable plan. Expenses that fall within the IRS accountable plan are not reported as taxable income to the employee.

IRS Accountable Plan

  • expenses must have a business connection
  • must adequately account for these expenses within a reasonable period of time
  • must return any excess reimbursement or allowance within a reasonable period of time

Purchase

For any reimbursement request outside of travel, expenses must be submitted for reimbursement within 90 days of the receipt date, or in the case of a working fund, project completion date.

  • Best practice is to submit reimbursement requests within 30 days.
  • Any reimbursement request older than 90 days should include a request for tax withholding form.