When a credit card is used to make a purchase, please be sure to get a copy of the receipt. This needs to be turned into the accounting department in order to reconcile the statement. The important information needed on the receipt include:
• Date
• Amount (including tips/gratuity/fees)
• Vendor / where purchased
• Attendees (if more than just the employee)
• Purpose of charge
Sometimes the purpose of what the item is going to be used for isn’t always clear, so please make a short note on the front of the receipt. These notes should be concise, but include enough detail for the accounting department to properly code the purchase. Notes may vary based on what was purchased. According to IRS standards, if an audit were to occur and there is no explanation on a business charge, this could be considered taxable income to the employee. Also, both the detailed & final receipt are required for proof of meals.
If no receipt is available, try to write down as much information as you can about the transaction and sign it, or send an email to the Finance Manager with the details of the charge. Please try to get receipts turned in as soon as possible so they’re available when the credit card monthly statement closes. Also, when travelling, please leave the hotel room charges on the American Express that the reservation was made with. Putting the room charges on individual Visa’s will decrease the available limit and increase the chance of running out of credit mid-trip.
If you use a credit card to purchase something on a purchase order or purchase requisition, please make sure it goes through the purchasing agent. From there, the purchasing agent will make sure that proper documentation gets to the accounting department. This would be either a copy of the PO, or the requisition that was used along with any invoices and packing slips that were received. To determine whether or not a purchase requisition is necessary or if you are unsure of the flow of the requisition, please ask the accounting or purchasing department.
Please give all credit card receipts to the Finance Manager.