Archive for month: March, 2014

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New Feature: Google Maps Integration for Mileage Expenses

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By popular customer demand, we have released a new (and cool) feature where the application will automatically calculate the number of miles using Google Maps. For this, the user will need to enter the start & end locations on a map within the web application. Once selected, the application will calculate the number of miles and drop it into the transaction. Since we already pull-in the IRS defined mileage rate, the math to calculate the amount is complete! The application also saves the Start and End locations in the comments field for reference. Here is how it looks:

1) Open an expense transaction and pick Mileage expense type. There the user will see a Google Maps link. Click on it. In the next screen as shown below, enter the Start and End Addresses, then select on the ‘Import Mileage’ button

Mileage-Expense-Map

2) Once this done, the mileage expense type is complete as shown in the image below.  As you can see, the application automatically imports the IRS mileage rate and does the math. It also adds the Start and End addresses to the Comments box. After the user clicks on Save,  the transaction can be added to an expense report for submission.

Done… Accurately and in less than 5 seconds! And conveniently from within our application, without having to go to an external map application every time.

Mileage-Expense-Type

What do you think? As always, we love to hear from you – info@gorillaexpense.com

Finance Speak – ‘What is the IRS policy for requiring a receipt for a travel expense?’

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Our customers frequently ask us questions on this topic. Mainly – What is the IRS policy for a receipt? And is it only needed for expenses greater than $50? There seems to be a lot of confusion and misinformation on this topic. So, to clarify doubts, here is the scoop –

1) The IRS accepts electronic receipts, but there are a few caveats (read more on this from a previous blog article we wrote. Click here)

2) Actually, the IRS does not need a receipt for expenses less than $75 (believe it or not!). Here is the text from the IRS publication 463 that validates it –

What Are Adequate Records?

You should keep the proof you need in an account book, diary, log, statement of expense, trip sheets, or similar record. You should also keep documentary evidence that, together with your record, will support each element of an expense.

Documentary evidence. You generally must have documentary evidence, such as receipts, canceled checks, or bills, to support your expenses.
Exception. Documentary evidence is not needed if any of the following conditions apply.

  • You have meals or lodging expenses while traveling away from home for which you account to your employer under an accountable plan, and you use a per diem allowance method that includes meals and/or lodging. ( Accountable plans and per diem allowances are discussed in chapter 6.)
  • Your expense, other than lodging, is less than $75. <——
  • You have a transportation expense for which a receipt is not readily available.

If you want to read the entire publication, it is available here. Hope you found this article to be useful! Now you can light a mini-bonfire and burn those <$75 receipts.

Please note that this is NOT legal or tax advice. Please contact your attorney or accountant for more information.