Publication date: 24.04.2024
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Settlements with employees for travel expenses: clarification of the Ministry of Finance
In its letter dated March 4, 2020 No. 08030-16/K-605/1/774, the Ministry of Finance of Ukraine provided clarification regarding the procedure for settlements with employees for travel expenses.
Government Resolutions No. 918 of November 3, 2019 "Some Issues of Paying Employees of Budget Institutions" (entered into force on November 9, 2019; hereinafter - Resolution No. 918) and No. 1027 of December 11, 2019 "On Amendments to Certain Resolutions of the Cabinet of Ministers of Ukraine " (entered into force on February 17, 2020) amendments were made to the resolution of the Cabinet of Ministers of Ukraine dated February 2, 2011 No. 98 "On the amounts and composition of expenses for business trips of civil servants, as well as other persons sent on business trips by enterprises, institutions and organizations that are fully or partially maintained (financed) at the expense of budget funds" (further - Resolution No. 98). According to paragraph 5 of Resolution No. 98, taking into account the specified changes:
• enterprises, institutions and organizations that send employees on a business trip provide them with funds as an advance for current expenses (within Ukraine — in the national currency, abroad — in the currency of the country to which the employee is on a business trip, or in US dollars / euros, or in the hryvnia equivalent at the official exchange rate of the National Bank established on the day of submission of the calculation of travel expenses to the authorized bank).The advance is transferred to the current account of the employee, on which operations can be carried out using payment cards, or the account of the enterprise, institution, organization sending the employee on a business trip, on which operations can be carried out using corporate payment cards;
• persons who are sent on a business trip by state bodies and military formations, established by them in accordance with the established procedure, institutions and organizations that are assigned tasks and powers in intelligence, counter-intelligence and operational-search activities, an advance may also be issued in cash;
• the balance of funds in excess of the amount spent in accordance with the report on the use of funds issued for the business trip or for the report, is subject to return by the employee to the appropriate account of the enterprise, institution, organization that issued them (in the case of a business trip abroad, in the monetary units in which the an advance was issued), in accordance with the procedure established by law, and to the persons specified in the second paragraph of this clause, who received a cash advance, to the cash desk of the relevant state body, military formation, relevant institution or organization;
• during the preparation of a report on the use of funds provided for a business trip, the recalculation of the expenses incurred during the business trip, which are documented, is carried out in accordance with the actual exchange rate applied by the bank, in the absence of confirming documents on the exchange of currency - based on the cross rate calculated by by the official exchange rate established by the National Bank of Ukraine on the day of approval of such a report.In view of the above, and taking into account the specified changes, the travel advance (except for the persons specified in the second paragraph of clause 5 of Resolution No. 98) may be provided to employees only in cashless form using employee payment cards or corporate payment cards. Accordingly, the balance of funds in excess of the amount spent in accordance with the report on the use of funds issued for a business trip or under the report is subject to the employee's return in cash to the appropriate account of the enterprise. If it is necessary to pay additional funds for the final settlement of the business trip, the payment of such funds is also carried out without cash.
Since Resolution No. 98 regulates only the issue of business trips of civil servants, as well as other persons sent on business trips by enterprises, institutions and organizations that are fully or partially supported (financed) from budget funds, the procedure for issuing advance payments is also regulated by the specified resolution only in the case business trips
Resolution No. 918, which amended Resolution No. 98, entered into force on November 9, 2019, and therefore, accordingly, the rules on non-cash advance payments for business trips apply starting from the specified date.
