Currently in RAMP it is not possible to set an IRS compliant “no-receipt-required rule”. We can only set the minimum for receipt required for$75 for all type of transactions. However, the IRS only allows no-receipts for travel related expenses and not for lodging. So right now, employees don’t submit receipts for things where the IRS requires receipts.
Is Ramp planning on adding a way to provide an IRS compliant $75 receipt rule where the merchant category is also factored in to ensure receipts are always required if somebody buy office supplies or adds a hotel invoice, etc.?
Good morning! @RHOU Thanks for the input here, I can see how this would be helpful. This isn’t currently on our product roadmap, but I can share it with the team.
One workaround might be to exclude certain merchants from requiring receipts within your Expense Policy. You could exclude travel-related merchants (ie Airlines, Taxis & Rideshare, etc) from the receipt requirement, instead of setting a specific dollar amount threshold.
Go to Settings → Expense Policy.
Click on Global Approvals and Restrictions (under Spend Guidelines).
Scroll to the “Auto-Approved Merchants” section.
Add the desired travel-related merchants to the list.
Would this help?
I’m curious if anyone else would like to see this sort of feature Feel free to comment or like this post!
The problem is that if the transaction is above $75, then a receipt is always required. So exempting on a merchant basis doesn’t work, because the flight you book with United Airlines needs a receipt, but the $10 in-plane WIFI charge doesn’t need a receipt.
Since it is a hard IRS rule, it would be the same for all customers, therefore should make implementation rather straight forward and support your customer’s tax compliance.
I just learned that RAMP has updated the submission policy structure to be a lot more flexible now.
With the new designer it is now possible to require receipts for certain Merchant Category classes, so this allows us to limit the $75 rule to only very specific merchant classes that are typical in travel. (e.g. restaurants, gas stations, taxis, etc.)
See below a screenshot how I just set it up to be a lot closer to IRS compliance.
Feel free to comment or like this post!
