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Policies and Procedures

Procedure 1263.1 – Paying for Business Entertainment Expenses

Effective
July 7, 2010
Last Updated
July 6, 2017
Last Reviewed
October 6, 2014
Responsible University Officer
Director of Systems and Operations
Responsible Unit
Systems and Operations

Procedure Statement

The campus voucher process is used to reimburse an individual for business entertainment expenses. A requisition may be required if payment is to a business, if the cost exceeds $5,000 or if an advance payment is required.

Forms and Instructions

Documentation Requirements

Business entertainment expenses must be documented (substantiated) to meet requirements of the federal tax code (see section below), and prudent business practices. To meet these standards the expenses must be documented to show:

    • Identification of the persons or group being entertained. If a small group (eight or fewer individuals) is being entertained, the names and total number of all persons attending must be shown.
    • A statement as to the reason for such business entertainment. Indicate how the business entertainment benefited the University and clarify the relationship of the persons in attendance to the particular aspects of the University's programs or activities (titles, committee names, field of interest of person being entertained, reason for visitor being on campus, etc.).
    • The place of entertainment. The location must be provided. Receipts for business entertainment expenses are required for reimbursement to employees. If payment is to be made to a vendor, the normal invoice or statement of costs is required.

Payments are made for business entertainment expenses when the documentation is complete. If appropriate action cannot be taken to properly document the expense, the employee must bear the cost of the business entertainment.

 

Related Data

None

History

Revised:
July 6, 2017: Added Form 1263.1.1f - Missing Itemized Receipt Affadavit
October 1, 2014: Updated references to campus vouchers and requisitions.
June 18, 2014: Added section on documentation requirements.
July 20, 2010

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History

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