Business expenses

You may need to reimburse expenses incurred by employees or provide them with goods or services, without this necessarily constituting part of their remuneration, a benefit in kind or reimbursement of business expenses.

These relate to the reimbursement of costs arising from the company’s business activities, rather than costs associated with the employee’s normal professional duties. They are excluded from the contribution base. These operating expenses must meet all three of the following criteria:

• They must be of an exceptional nature;
• In the company’s interest;
• Expenses incurred outside the normal course of the employee’s or equivalent worker’s work.

To qualify as business expenses, the expenditure incurred by the employee must be justified by:

• The fulfilment of the company’s legal or contractual obligations;
• The implementation of the company’s management, organisational or administrative practices;
• The development of the company’s commercial policy.

 Business expenses: seminars, incentive trips and business trips

Expenses incurred by the employee or paid for directly by you in connection with seminars or incentive trips are considered business expenses.

However, these trips must involve the organisation and implementation of a work programme and the imposition of obligations on the employee, whilst their participation in such trips does not form part of the normal course of their employment.

If these conditions are not met, the payment of travel expenses will constitute a benefit in kind. The expenses incurred will be subject to social security contributions.