It is important to know that on excess daily allowances. In our article we talk about what insurance premiums are imposed on daily allowances in excess of the norm in 2020.
Also see:
- How to draw up and execute an order for daily allowance on a business trip
- How to calculate daily allowance when traveling abroad
Daily allowance rates
Daily allowance rates for tax are established in Art. 217 Tax Code of the Russian Federation.
If you are interested in tax accounting for daily allowances, you can learn about it from our article “How to reflect daily allowances in tax accounting.”
In short, the daily allowance rates for tax accounting purposes for each day of business trip are:
- 700 rub. – for Russian trips;
- 2500 rub. – for trips abroad.
Business trip for one day, how is it paid?
The definition of a business trip is contained in Article 166 of the Labor Code of the Russian Federation. This is a trip of an employee by order of the employer for a certain period of time to carry out an official assignment outside the place of permanent work.
The specifics of sending employees on business trips are established in the Regulations approved by Decree of the Government of the Russian Federation dated October 13, 2008 No. 749 (hereinafter referred to as the Regulations on Business Travel).
Neither the Labor Code nor the Business Travel Regulations establish a minimum period for which an employee can be sent on a business trip. Therefore, if a trip is made on the instructions of a manager and during the trip the employee performs an official assignment, then it can be called a business trip. Even if it only lasts one day. The employer determines the duration of the business trip independently, taking into account the volume, complexity and other features of the official assignment.
Secondment of employees is always related to current job needs or training. During a business trip, the posted employee is given certain tasks that he must complete. Accordingly, the duration of such a trip can be several weeks or even months.
It turns out that the employee spends several days off on the trip, and probably some holidays. They are considered non-working, which raises many very pressing questions.
It should be said that a business trip on a non-working day includes exclusively such days or they will be included in the general period along with working days. Regardless of this circumstance, payment of daily allowance and wages for a business trip on a weekend is carried out under the same conditions.
- official travel is noted as a day worked. Weekends and holiday periods spent on a given trip are taken into account as time worked. Payment is made according to the rules of remuneration for work outside working hours. The only option is to pay the usual average daily remuneration in double amount. It does not matter that the employee may not work on his day off. These days are still counted and marked as actually worked and are paid double;
- The double calculation is based on the calculation of the average income for one day. To do this, the accounting department takes the amount of all payments and divides this value by the number of days spent at work. The average value comes out. It should be multiplied by the number of days spent away. As a result, the resulting amount is multiplied by two. The specified double indicator means the amount of money that will be paid to the employee.
Thus, from a financial point of view, a business trip is more profitable working time than time spent at the official place.
Another type of payment during official departure is daily allowance. They are intended for the employee's current expenses. Often, daily allowances are spent on food and other routine needs.
The amount of daily allowance is not established by law. They can be anything. However, the law contains a limit at which daily allowances begin to be subject to income tax. When their volume does not exceed 700 rubles when leaving within the Russian Federation, daily allowances are not considered income and tax is not charged on them.
But if the institution has a more impressive daily allowance, then the tax calculation starts at 700 rubles. For example, the size is 1000 rubles. Up to 700 rubles and including this value, you do not have to pay tax. And on 300 rubles that exceed the established limit, you must pay income tax.
Daily allowances are credited both for weekdays and for days when the employee has the right to rest. They are credited as employee support daily for the entire period.
However, the law does not provide for double transfer of daily allowances for non-working periods. Their volume remains unchanged throughout the departure.
This departure is formalized by order. An order for a business trip on a day off is the only form of expressing the employer’s decision. Since the departure will only take place on a non-working day, the order must include precisely this period.
With this document, in addition to the duration of the business trip on a day off, the payment procedure should also be indicated. There is an essential feature here. If completing a task takes only one day, even if it is a non-working day, then the daily allowance is not accrued or paid.
Accordingly, the employee will only receive double payment for the specified time spent at work.
Such an order may be issued together with an order declaring a day off as working time. After the issuance of this act, an order is issued to send the employee on a business trip.
A T-9 form is specially provided for this. According to this template, you need to draw up a travel document. The sample below is a universal general form that will be suitable for all companies and institutions.
When working on a day off at the main place, the employee may receive time off or double pay. However, this rule does not apply when traveling on official business.
This establishes that an employee can only receive double the amount of remuneration for work. And he also cannot count on time off.
Every accountant sooner or later has to face the need to arrange a business trip for employees of the enterprise where he works. It seems that everything is clear - an order is issued from the head of the organization, where the text indicates the full name of the employee and the period for which the latter is leaving.
But sometimes unusual situations happen, for example, when a business trip lasts only one day. Not such a common event, but it also happens.
What to do in this case? How to properly prepare documentation, what does current labor legislation say about this? What are the details of arranging such a trip, and how is it paid for?
Business trip dates
An employee may be sent to another locality to collaborate with another organization, most often this is temporary work that needs to be done himself or to supervise the process.
As such, there are no minimum time restrictions on the length of stay on a business trip in the Labor Code and other regulations. Lawyers also do not give recommendations that should be followed, so a business trip can last only one day.
But regarding the maximum period, everything is clear and understandable. In this case, the legislator set boundaries - in 2021, a business trip should not exceed the designated 40 days, which includes both working days and weekends, if the worker also worked on weekends.
Moreover, the day off is paid at double salary. The only exceptions are those cases when the employee himself expresses a desire to take an additional day off upon arrival. Then payment is made at the usual rate, based on the average salary of this employee.
But what if the work trip lasts longer than 40 days? The law describes the following procedure for issuing travel allowances: one business trip is terminated, and the second is renewed and begins when a new order is issued.
Now about leaving for work on one day - this is also a business trip, no matter how short it may be.
A one-day trip for work is also considered a business trip, so it is subject to the same rules and regulations as a long trip. Both management and accountants should be aware that not every employee is allowed to be sent to another locality to perform work tasks. A whole list of restrictions applies to workers who can leave.
- pregnant women;
- minor employees;
- women who have children under 3 years of age are allowed to travel if their written consent is received, attached to the order;
- if a child under 3 years of age does not have a mother, but only a father, the previous rule applies to the father;
- it is impossible to arrange a business trip for an employee who is caring for a sick family member or a disabled person, confirmation of this is a medical report or a document confirming the assignment of disability;
- It is prohibited by law to send on work trips employees who work under a student agreement.
- officials will receive a fine from 1,000 to 5,000 rubles;
- for legal entities the penalty is 30,000 - 50,000 rubles, and possibly suspension of work for a period of up to 90 days;
- if officials have previously violated labor laws, they may be disqualified from positions for 1 to 3 years.
Despite the short duration of a work trip, a business trip lasting one day also requires proper registration. Step-by-step instructions for drawing up documents look like this:
- The head of the department explains to the director of the organization the need to send an employee on a work trip, in connection with which a job assignment is filled out according to form No. T-10a approved by legislators. The official must describe the goals and objectives of the upcoming trip.
- Based on the text of the official assignment, an order from the head of the company is formed. When 1 employee travels to the designated final destination, form No. T-9 is valid; if there are two or more of them, use form No. T-9a.
Previously, the issuance of a travel certificate raised many questions. How advisable is it to issue a document if the employee goes on the road for just one day? To avoid confusion, in 2021 officials canceled the issuance of the certificate; now there is no need to issue it.
Another important nuance when paying for travel allowances is the provision by the employee of an advance report. The document has 3 sheets:
- The header indicates the abbreviated name of the enterprise, encoding according to OKUD and OKPO. Below, the amount of money spent for which the report was drawn up is calculated, and the date the paper is filled out is indicated. The position of the head of the organization must be approved and the full name of the accountable person must be recorded. On the 1st title page, the accountant enters information on the balance from previous advances and the amount actually spent, obtained by summing up the funds from the submitted checks. As for accounting, the entries affect debit 26 and credit 71 accounts.
- The second sheet is a receipt indicating the value of the report; the accountant himself also makes a record of the audit by the accountant.
- On the 3rd and subsequent pages, the details of expenses are written down, the dates and numbering of documents on expenses, for what needs and in what quantity the money was spent, are necessarily recorded from the receipts. The accountable person signs below, thereby confirming his own expenses and the daily allowance issued to him.
- The advance payment includes checks, travel tickets, payment for dinner in a cafe, payment for a hotel room.
Insurance premiums for daily allowances in excess of the norm
As a general rule, I charge insurance premiums on the daily allowance paid to the employee if they exceed the amount indicated above (clause 2 of Article 422 of the Tax Code of the Russian Federation). In this context, insurance contributions should be understood as contributions for compulsory pension (OPS), medical (CHI) insurance, as well as VNIM (for temporary disability and maternity). They are paid in accordance with the norms of the Tax Code of the Russian Federation.
EXAMPLE
If the employee received 2000 rubles. daily allowance for 2 days of stay on a business trip in the territory of the Russian Federation, then insurance premiums are assessed in the amount of 600 rubles. (RUR 2,000 – 2 days × RUR 700).
Insurance premiums for injuries (in the Social Insurance Fund) are not subject to daily allowances, regardless of the amount paid . The main thing here is that the actual amount of daily allowance is established by an internal document of the company.
Procedure for taxation of daily income tax and social security payments
Travel expenses are subject to personal income tax only if the amount of these funds exceeds the limit established by tax legislation. If this limit is exceeded, payments are subject to the specified fee.
A similar situation has been established in relation to insurance premiums, taking into account daily allowances in excess of the norm established by legal restrictions. There is no taxation on daily allowances if their amount exceeds the limits established by law.
It is important to note that if the duration of a business trip does not exceed one day, the full amount of travel expenses is taken into account, with deduction, regardless of the amount of payments. This is explained by the fact that payments for one-day business trips do not qualify as daily allowances under the terms of the law. Therefore, the established limit, beyond which deduction is provided for multi-day business trips, is not applicable to them.
From accidents
What has been said above regarding accruals for social insurance applies to transfers for pension, health insurance, VNIM. Now let’s talk about whether daily deductions are subject to insurance premiums for injuries.
Related article: How to receive notification of the amount of insurance premiums
Here, when calculating taxable deductions, the situation is somewhat different. These tax payments are not withheld from them, regardless of the excess over the established limit.
One-day business trips and insurance premiums
One-day trips are considered to be business trips from which the employee can return home every day. At the same time, according to labor legislation, daily allowances are not paid . But insurance premiums must be calculated if the employer nevertheless decides to pay daily allowances (clause 11 of the Regulations, approved by Decree of the Government of the Russian Federation of October 13, 2008 No. 749). A similar position is set out in the letter of the Ministry of Finance dated October 2, 2017 No. 03-15-06/63950.
If the employer issues a one-day daily allowance as compensation for expenses associated with a business trip , then insurance premiums do not need . However, it is worth confirming reimbursement of costs with primary documents. This is, for example, details of the bill for cellular communications, tickets for public transport or the metro, sales receipts for printing documents, etc.
Rationing daily allowances
According to labor law, daily allowances are paid to a full-time employee by the employer to reimburse additional expenses associated with living away from their permanent place of residence during a business trip.
The Labor Code of the Russian Federation does not establish a minimum and maximum daily allowance for commercial employers. Their specific value is determined in the company’s local regulations.
Healthy
Insurance premiums on the cost of housing for business travelers
When calculating personal income tax and calculating insurance premiums administered by the Federal Tax Service of Russia, daily allowances are standardized. Article 217 of the Tax Code of the Russian Federation determines the size of non-taxable limits for daily allowances. So, for business trips within Russia, the limit is 700 rubles per day, and for work trips abroad it is the equivalent of 2,500 rubles per day.
Important
Insurance premiums and compensation for employee relocation expenses
If the actual amount of daily allowance, which is specified in the company’s local regulations, exceeds this limit, insurance premiums and taxes are charged on the “excess” funds.
