How are different expense categories treated in China for reimbursement?

Expenses Invoicing Requirements

Except for mileage, every item claimed for reimbursement must be evidenced by a valid itemized receipt or invoice complying with VAT regulations, as appropriate.

Passports/Work Permits/Visa

Expenses for obtaining/maintaining a passport may be reimbursable upon supervisory approval and will form a Taxable Expense.

Transportation Expenses

Reimbursable - If Adheres MSP approval guidlines

Per diems

Meal Per Diem (subject to IIT) are treated as taxable expense

Air Travel/Bus and Train

Reimbursable - If Adheres MSP approval guidlines

Taxi, Cabify, Uber, and related apps

Reimbursable - If Adheres MSP approval guidlines

Car Rental

Reimbursable - If Adheres MSP approval guidlines

Car Parking Fees

Reimbursable - If Adheres MSP approval guidlines

Tolls

Reimbursable - If Adheres MSP approval guidlines

Other Business Travel-Related Expenditure

Reimbursable - If Adheres MSP approval guidlines

Travel Insurance

Reimbursable - If Adheres MSP approval guidlines

Mileage and Fuel

Fuel/Mileage (Based on default rate subject to IIT) are treated as taxable expense. EE should provide Chinese tax invoice with the correct Company name and Tax ID, which is for fuel purchase purposes, the cost can be reimbursed directly by the company without IIT. Exception- Fuel and Mileage for JRSK and away travel are processed as gross up.

Accommodation

Reimbursable - If Adheres MSP approval guidlines

Meals (travel/events/during work)

Reimbursable - If Adheres MSP approval guidlines

Client Entertainment

Reimbursable - If Adheres MSP approval guidlines

Staff Entertainment

Reimbursable - If Adheres MSP approval guidlines

Mobile Phone bills

Reimbursable - If Adheres MSP approval guidlines

Broadband (Internet)

Employee Benefit: Home Internet (Subject to IIT) are treated as taxable expenses

Computer Equipment, Software, Office Space, Furniture, Phones, Other Assets

expenses under 500 USD reimbursable, Above 500 USD to be Gross up

Furniture

expenses under 500 USD reimbursable, Above 500 USD to be Gross up

Stationery

Reimbursable - If Adheres MSP approval guidlines

Gifts

Reimbursable - If Adheres MSP approval guidlines

Coworking and Office Rentals

Day rent Reimbursable; monthly quaterly, yearly is Non Reinbursable and to be grossed up

Bank Charges

N/A

Foreign Currencies

N/A

Annual subscriptions

Reimbursable - If Adheres MSP approval guidlines

Training Expenses

Reimbursable - If Adheres MSP approval guidlines

Medical Claims/Health Check Up and related items/Medical Insurance

Medical check up for self is reimbursable and for dependents are treated as taxable expense

Exception and Other tpyes of expenses

N/A

Event expenses (trade shows/conferences)

N/A

Meals (travel/events/during work)

N/A

Di minimus expenses (Tips, no receipt)

N/A

Payroll Reporting

N/A

Additional Reporting

N/A

Review process

N/A