Effective Date: January 31, 2025 (see Revision Log for what changed on this date)
In Brief
- According to the University of Colorado’s accountable plan – under IRS regulations – the University must report as taxable income any business expenses incurred by an employee and not substantiated within 90 days of the transaction date or within 90 days of the trip end date.
- “Substantiation” means that the employee submits an expense report in Concur, documenting the business purpose of the cash advance, commercial credit card transaction, or reimbursement request … and provides required receipts or other documentation … and reimburses the University (if appropriate) … within the required timeframe.
Quick Look
Procedural Statement
Introduction
Substantiation Procedures and Requirements
Substantiation Details
Consequences of Non-Substantiation
Exceptions
Unless approved by the Director of Tax in the Office of University Controller, there are no exceptions to this procedural statement. Requests for exceptions must be submitted through the appropriate campus controller's office. As noted on our Campus Controller's (Finance) Offices webpage, these designated campus contacts are:
- Boulder: fiscalcompliance@colorado.edu
- Denver|Anschutz Medical Campus: FS-Compliance@ucdenver.edu
- Colorado Springs: acctfinc@uccs.edu
- CU System: kristine.mcnamara@cu.edu
Important: When requesting an exception, the employee must forward the formal email that they received from the Concur system -- the Taxable Expenses Notification - along with its attached list of reported transactions.
Revision Log
- Updates 1/31/2025: Under "Consequences of Non-Substantiation," provided additional detail regarding potential impact on a subsequent month's net pay.
- Updates 6/12/2024: Under "Substantiation Procedures and Requirements," clarified that commercial cards are Procurement Cards, Travel Cards, or Airfare Cards (added reference to Airfare Cards).
- Updates 1/1/2023: Updated guidance, under the University’s accountable plan, on requirements to substantiate business expenses in order to avoid taxable consequences to the employee/cardholder. Supersedes Finance Procedural Statement Business Expense Reimbursement dated 9/1/2014 and PSC Procedural Statement Undocumented Reimbursement dated 11/1/2018.
- Updates 10/26/2021: Supersedes (without change in procedures) PSC Procedural Statement Business Expense Reimbursement dated 9/1/2014.