Limited Liability Company «ХХХХХ» (ООО «ХХХХ»)
INN хххххххххх, KPP ххххххх, OKPO ххххххх
Complete name of company and identification codes (INN, KPP, OKPO)
General Director «ХХХХХ»
Regulation on business trips
City XXXXXX XX.XX. XXXX
1. General Provisions
1.1. The regulations are developed in accordance with current legislation of the Russian Federation and defines the procedures for business trips in Russia and abroad for the employees of the company OOO «ХХХХ» (futher named – organization).
1.2. Business trip – is a trip of an employee but the order of the head on the organization to work for a defined timeperiod at a different place than the permanent place of employment
1.3. The regulation applies to all employees of the company, including the general director.
1.4. Following trips are not defined as business trips under this business trip regulation:
– Official travel of employees whose duties involve traveling as part of their work contract and type of work, expcept if approved as a business trip by a different regulatory document;
– A trip by an employee which includes the return the same calendar day to the location of permant work and or the return to the private residency;
– Trips related to personal matters with no relationships to company needs nor without company approvals through the relevant confirming documents;
– A trip related to studying or training as related to higher education or approved vocational training programs
2. Term and modes of travel
2.1. The length of a business trip and the means of transport are to be set by the head of the organization based on the needs of the organization in relation to the business trip.
2.2. The actual details fo the business trip are determined in the travel documents by the employee upon his return from the business trip. In case the employee travels to the location of the work and / or back by car the details are to be filled by a business trip memo specifying the details. The business trip memo is to include all supporting documents such as description of the route, any incured bills and receipts, and other supporting documents)
2.3. The departure date is set as the date of the departure by any means of transportition from the permant place of employement. The return date is set is set as the return to the permanent place of work.
If the departure and the return day are the same calendar day the trip is not considered a business trip. A business trip is only considered if between the departure and return date is a minimum difference of one day, or easier said one mightnight.
For the definition of departure and return date the departure or return are fixed by the departure or return to home and travel times between means of public transportations (airports, train stations, etc.) are also included in the business trip lenght of time.
2.4. The departure to the business trip or the return from the business trip by passing through the office are to be agreed with the director of the organization.
2.5. For an employee on a busienss trip the work order concering working times is applied as it is applied in his standard location of work.
2.6. In the case that an employee can not fulfill the travel order temporarily the employee is obliged to immediatly inform the director of the organization of the discontiuation of the business trip.
Temporary disability of an employee on a the business trip, including for health reasons, shall be documented by the employee by the relevant authorities (including state licenced health care facilities). During the temporary disability to continue the business trip the employee shall be compensated in the form of the temporary disablity benefits.
Time spend with a temporary incapacity to continue the business trip are not to be included in the travel times for the business trip.
In case of a temporary incapacity to continue the business trip the employee has the right to receive the reimbursment of expenses related to overnight stays (except for the employee is hospitalized) and daily allowances until he is able to return to his place of permant residency.
3. Documenting a business trip in Russia
3.1. The reason why an employee is send on a busienss trip is to be documented with the relevant documents.
3.2. The HR department has to prepare based on the instructions of the director an order to send an employee to a business trip using the standard russian form № Т-9 (№ Т-9а), issued by the Russian state statistical office on 5 January 2005 № 1. (Т-9 Unified form number T-9 approved by the decision of Russian State Statistics Committee for business trip (in Russian) from the 06.04.01 № 26)
3.3. Information about the busienss trip of the employee is to be added to the journal of business trips.
4. Expenses incurred on the business trip and their compensation
4.1. The salary during the busiess trip is to be based on the average earnings of the employee for the duration of the business trip.
4.2. Employees on a business trip are to be compensated the following incurred expenses:
– Travel expenses related to getting to the assigned location of the busienss trip and back;
– Expenses related to renting of premises;
– Daily allowances;
– Other expenses incurred in relationship to the business trip as approved by the employer and correctly documented;
– Airport fees and and other expenses incurred at the airport;
– Expenses related to the travel ot the airport or the train station from the place of origin;
– Baggage expenses;
– Expenses for telephone calls for offical calls;
– Expenses related to the receipt of visas, passports or related documents;
– Expenses related to the exchange of local currency into foreign currency.
4.3. For each calendar day of a business trip, including weekends and public holidays, as well as days in transit, including during a forced stopover, the employee receivs a daily allowance of 700 rubles per day of a business trip inside Russia, and 2500 rub. per day for a business trip abroad.
4.4. The travel expenses to the place of the business trip and back to the place of permanent employment are reimbursed to the seconded employee in the amount of the expense of travel by air, rail, water and road public transport, including insurance payments for state compulsory insurance of passengers on transport, the payment of services for pre-sale of tickets, charges for the use of overnight trains. .
The fixation of the usage of foreign currencies for the business trip are done in the following manner:
– When crossing the state border of Russia to a foreign country the calcuations are based on the foreign currency of the foreign country. Daily allowances are paid on the basis of the allowance level set for foreign countries
– Upon return to the territory of the Russian Federation the daily allowances are paid at the level of the daily allowance set for the Russian Federation.
The dates of the crossing of the state border are based on the markings in the passport by the Russian border agents.
When sending an employee to more than one foreign state the daily per diems are to be paid at the level as set for each state the employee is sent to.
4.5. Reimbursement of overweight luggage for business trips is not provided.
5. Basic rules for business trips
5.1. Usage of a corporate travel agent
The employee must acquire all railway and air tickets through the designated corporate travel agency. The reason for the use of any other service provider should be documented in writing and approved by the supervisor.
5.2 Usage of the corporate credit card
If an employee has a corporate credit card all payments are to be done when possible by using the corporate credit card, other forms of payments are to be avoided.
5.3 Cash Advance
An employee may request a cash advance for a business trip with an indication of the amount of expected cash costs. The request must be made in writing with the estimate of cash costs.
5.4. Hotels / Accommodation
Hotel accomendation must be booked through the corporate travel agency where possible. Wherever possible, the hotel must be paid by wire transfer company.
If the hotel can not be booked through a corporate travel agency because of more favorable tariffs, it is preferable to the following reservation sites:
For any hotel booked privately the following rules apply for verified expenses:
– Wherever possible, accommodation should be paid a corporate credit card
– Issued invoice must contain a reference to the company and the persons living
– The invoice must contain proof of payment
Any costs above XXXXX rubles per night, or the equivalent in other currencies, including the breakfast, must be approved in writing by the direct supervisor.
5.4 Usage of mobile phones
5.4.1. Corporate mobile phones
An employee who has a corporate mobile phone is not entitled to additional compensation. The employee must try to minimize the telephone charges in roaming and data transfer costs.
The employee must disable data roaming. Maximum daily costs for corporate data roaming should be XXXX rubles for a full day. If the data transfer costs are higher, it is necessary to review the incurred expenses at an individual basis.
5.4.2. Usage of a private telephone
For the usage of a private telephone the maximum refundable amount is XXX rubles per day. Expenses should be documented by an extract from the account of the mobile operator.
Only usage charges are compensated, monthly fixed fees or other charges are not recompensated.
5.5 Taxi Usage
When a taxi service is used the employee must order it from an authorized vendor and receive a receipt. The receipt must contain:
– Starting point and end point
– Name of carrier
– Date and number of the document
In his place of residence and to get to and from the airport or train station worker should use a corporate taxi.
5.6 Usage of a private automobile
The use of a personal automobile is to be approved by the supervisor in written.
If a personal automobile is used the following information must be documented: start point, itinerary, end point, travel time of passengers and travel distances. Additional costs, such as road charges must be documented. After returning from a business trip the employee is required to provide a memo indicating all above details.
Per kilometer the employee is reimbursed XXX rubles.
5.7. Renting of an automobile
Car Rental: Hertz, Budget, Avis and National Car Company and XXX are the only companies that have been approved for use by employees traveling for the company.
Car rental must be paid a corporate credit card.
The company assumes no liability for accident insurance, it is recommended that all staff arrange liability insurance and collision damage on the reservation desk at the car rental company.
5.8 Representation expenses
The list of documents confirming the representation expenses:
– Primary documents confirming the purchase of goods, works and services (contracts, acts of performed works, rendered services, invoices, receipts, etc.);
— Order by the head of the organization for the organization of meeting generating representation expenses (Avansovka – master – order of entertainment expenses in Russia)
— Report about the meeting which generated representation expenses (Avansovka – Master – report on the activities in Russia).
— Programm of the meeting generating representation expenses (Avansovka – Master- program of entertainment- Russia)
— Cost for the meeting (Avansovka – master – estimate on entertainment expenses in Russia)
— Akt confirming the representation expenses and the expensing of them (Avansovka – Master – act on entertainment expenses in russia)
– Correct fiscal bill
– Aim of the meeting
Any costs over XXX rubles per person must be approved by the supervisor.
Any tip to be included in an official document, otherwise they will not be compensated.
– Correct fiscal bill
– Transfer of ownership document
– Aim of the present
– Recipient of the present
Any expense higher than XXX ruble have to be approved by the head of the organization.
5.8.3 Food and other purchases for corporate events
– Correct tax deductable bill
– List of items
– Purpose of the event
5.9 If an employee has generated expenses without official documents or documents have been lost, he is obliged to write a memo indicating the expenses in detail, such as the amount and reasons. Any amount of expenses must be approved by the director, but no more than XXXX rubles.
6. Additonal options to compensate employees for business travel
6.1 Variant 1 – Differences based on the senority level in the organizatio
6.1.1. Compensation based on the senority level
Business travel in the territory of the Russian Federation is fixed at:
– Director – XXXX rubles.
– The heads of branches – XXXX rubles.
– All other employees – XXXX rubles.
Business travel outside the territory of the Russian Federation is fixed at:
– Director – XXXX rubles.
– The heads of branches – XXXX rubles.
– All other employees – XXXX rubles.
6.1.2 By Currency
The compensation for business travel days inside the Russian Federation is set at :
For each business travel day outside the Russian Federation the daily allowance is set at:
6.1.2 By place of the travel
For each calendar day of travel to one of the following cities in Russia the daily allowance is set at XXX ruble, for other locations at 700 rubles
• Moscow and Moscow region
• Sankt Petersburg
• Nischni Novgorod
For each calendar day of travel outside of the Russian Federation the daily allowance is set at 2500 rubles except for the following destinations where the allowance is set at 100 Euro.
• United Kindom
6.2 Additional daily allowance for shorter trips with the possibility to return on the same day
For travel within Russia, which, in accordance with the Russian legislation is not subject to a one-day business trip, and return is possible until midnight, following voluntary paid per diem:
Documented journey time from 10 to 16 hours: 300 rubles
Documented journey time of 16:01 to 23:39 hours: 500 rubles
6.3 Differentiation for the business trips
6.3.1 In terms of the seniority
When traveling to destination of a business trip the Director, Deputy Director,
shall be reimbursed the cost of business-class travel. The remainder of the employees shall be compensated
travel by economy class.
When traveling to a place of business trips by railroad the director and deputy director shall be reimbursed first class tickets or comparable tickers while the remainder of the employees shall be reimbursed up to standard economy fares.
6.4 Additional benefits on business trips
The employee shall be reimbursed for travel to the airport or the train stationfrom his place of residence by taxi. In case of absence of any documentation for the travel costs or the transport of the baggage the employee shall be reimbursed XXX roubles per trip.
6.4.1 Payment of personal income tax which is withheld by the company
If an employee receives any benefit as defined in this busienss trip regulation for which according to Russian legislation income tax of current 13% is to be withheld the employeer assumes the additional gross up costs.
6.4.2 Compensation in connection with the calculation of the average wage for the days spent on mission
When an employee is on a business trip the salary is calculated on the basis of the rules for calculating the average wage used in Russia. In cases where the average is lower than the actual salary indicated in the employment contract the employer tops up the salary to reach the salary indicated in the employeement contract.
7. Payment for work during weekends when on business travel
7.1. If an employee leaves on a business trip during a non-working (weekend, holiday) day, the day
serving as the first day trip, payment for which is provided in accordance with Article 153 of the Labour Code, that is, how to work on a weekend or public holidayday.
Similarly, if returning from a business trip during a none working day.
7.2. Weekendwork or a public holiday day is paid at least double amount in accordance with Article 153 of the Labour Code. Specific sizes of payment of work on a weekend or public holiday day may be set by collective agreement, local normative act adopted taking into account the views of the representative body of employees, labor contract. At the same time the request of the employee, who worked on a weekend or public holiday the day, he may be given another day of rest. Weekend work is to be compensated as a full dayof work.
8. Gurantees for employees on a business trip
8.1. On the basis of Article 167 of the Labor Code of the Russian Federation while and employee is on a business trip or while the emloyee is traveling to the temporary location of the servic the employeer guarantees the preservation of the place of workplace and position at the average salary, as well as reimbursement of expenses related to the official business.
8.2. In the case of direction-pluralist employee on a business trip at the same time on the main
work and work done on moonlighting conditions, the average wage is retained at both employers and reimbursed travel expenses are distributed between the commander of the employers by their mutual agreement.
8.3. When you send a mission to the employee is issued a cash advance to pay for:
– Travel expenses;
– The cost of hiring premises;
– Additional costs associated with living outside the place of permanent residence (per diem).
9. The procedure for reporting associated related to business trips and expenses incurred
9.1. Within three days after a business trip the employee has to submit the expense report using the Russian expense report form. (AO-1)
With the expense reporting form the employee has to submit the original accounting documents confirming the incurred expenses and indicate how they were incurred (cash, check, credit card payment, payment through bank accounts). If the business trip includes foreign travel the photocopies of the passing of the state border of the Russian Federation are to be attached.
9.2. To the expense report the following documents are to be added:
– Documents confirming the expenses of renting any premises;
– Documents confirming the payment of fees for airport services and other fees;
– Documents confirming the cost of travel to the destination and back, if these expense were done by the employee in person;
– Documents confirming the travel expenses to the airport, the train station in the places of origin,
destination or direct on baggage;
– Documents confirming the cost of official telephone calls;
– Documents confirming the costs of preparation and registration of the foreign service
Passport, visa, if these steps have not been made by the Organization;
– Documents confirming the costs associated with the exchange of foreign currency in cash or by check at the bank for foreign currency.
9.3. Failure to provide documents confirming the payment of the cost of renting premises, the amount of such payment shall be reimbursed in the amount stipulated in paragraph XX of this Regulation.
9.4. Failure to provide the documents, confirming the expenses for travel to the destination and back and if these expenses were made by the employee personally will result that the expenses are reimbursed at as an economy class ticket.
9.5. In the absence of documents confirming the cost of official telephone calls, the costs are reimbursed in the amount specified in Paragraph XXX of this Regulation.
In the absence of documents confirming the cost of obtaining a visa, and the costs associated with cash currency exchange, these costs are not reimbursed.
9.6. The cash balance for any cash advance in excess of the amount used according to the expense report advance report must be returned by the employee within three days of returning form the business trip.
9.7. Failure to return the employee account balance in the period specified in paragraph XXX of this Regulation, the relevant amount reimbursed by deduction from the employee’s salary based on the maximum amount of deduction laid down in Article 138 of the Labour Code.
9.8. No later than three working days after returning from a business trip the employee is obliged to prepare and submit an official document outlining who has taken the decision on sending the employee to the business trip.
Employees send to perform certain during the business trip are to attache the documents confirming that they have been assigned these tasks by their superior for the organization.
Employees participatiting in an event are to document the goods and materials they received during the event.
Denial of responsibility / Warrenties provided:
This text has been developed on the basis of Russian legislation as generally applied in June 2016. The text is in modular format and each company shall select the relevant segments and shall review and approve the final text by his chief accountant or tax advisor.