When you want something done quickly, following government procedures can seem like a creaky, interminable process. But when changes in the regulatory environment do inevitably occur, organizations that can efficiently adapt have an advantage over the competition. Automated expense management software can streamline the processes of tracking expense claims and reimbursing employees and make it easy to comply with current regulations.
On Aug. 1, the Internal Revenue Service released new regulations likely to affect every taxpayer who receives reimbursements and related expense allowance, as well as the organizations that provide these reimbursements. According to an article on AccountingToday.com, TD 9625 is intended to clarify expense reimbursement rules and exceptions. The agency also requires greater detail when it comes to reimbursing such nonemployees as clients and contractors.
The point is that the IRS regulations governing expense claims are likely to grow ever more complex. And for all organizations — especially those operating with an IRS Accountable Plan — keeping up with the changing rules is critical to the health of a business. Thus, it’s important for an organization to review its travel and expense policies on a regular basis to ensure compliance.
With automated expense management software like Chrome River EXPENSE, a company can alter its rules, add new policies, and restructure approval chains at any time. Once the changes are entered, the system automatically ensures compliance with current corporate and governmental policies.
Every time an employee or executive saves an expense item, the expense management software checks for compliance with corporate policies. With each item submitted, the system calculates the appropriate approval routing based on the unique attributes of each expense and the expense report as a whole.
In a changing regulatory environment, organizations must keep up with current rules and regulations or risk serious penalties. Automated expense report software helps reduce this risk by making compliance more efficient and consistent.
What tips would you offer for managing IRS compliance? Has your organization used automation successfully in this regard? Let us know by sharing your thoughts in the comments section!
- Why is Mobility the Foundation of Effective Expense Management in Construction?
- The Cost-Control Benefits of Analytics in Expense Management
- 7 Reasons Why the Finance Team Should Push for Expense Management Software
- Business Travel in the iPhone Age: Lessons Learned and Future Strategies
- Chrome River and Lyft Launch Integration for Even Easier Business Rides
We love you guys! Everything is going great.
Wow! This Chrome River is great. Word has spread [in our firm] and people that were not invited to be in the pilot group rollout have asked to be included!