Q & A 

Regulations on traveling abroad

Business trips abroad are regulated by the following:
·        General collective agreement for public services, public companies, state organs, local self-government organs and other legal entities that perform non-economic activities;
·        Branch collective agreements;
·        Resolution on the highest amounts of per diems for business trips;
·        Law on gain tax;
·        Law on personal income tax.

The general collective agreement does not regulate the way of calculation and payment of per diems for business trips abroad, but it is left to be regulated by branch collective agreements.

Branch collective agreements regulate a directing norm, that is, the calculation and payment of per diems for business trips abroad, to be regulated in accordance with the Regulation on expenses for business trips and moving abroad that are covered in the current expenses of the managing bodies, and the amount of per diems to be determined in accordance with the resolution on highest amounts of per diems for business trips and moving abroad that are covered in the current expenses of the managing bodies.

2. A business trip decision and order

A decision for a business trip abroad is issued by the managing body.

A decision for a business trip abroad should contain the following: name and surname of the person traveling, tasks he/she performs, purpose of traveling, name of the country and place where he/she travels, date of traveling and returning, that is duration of the business trip, kind of transport used, as well as accommodation and food, if they are charged up to some other organ or organization’s account.

The business trip order contains: name and surname of the person traveling, tasks he/she performs, purpose of traveling, name of the country and place where he/she travels, date of traveling and returning, that is duration of the business trip and kind of transport used on the business trip.

3. Expenses for business trips

Expenses for business trips abroad comprise the expenses for accommodation, food and transport.

Accommodation expenses on a business trip abroad are calculated on the basis of a paid bill for a hotel of up to a four star category. It means that the employee’s expenses are covered according to the hotel bill. Accommodation does not imply accommodation for a daily break.

Food expenses – food expenses during a business trip abroad are calculated through the per diem. The highest amount of per diem for a business trip to certain countries is determined by a special act of the Government of the Republic of Macedonia.

In case of interrupting the trip by plane the food and accommodation expenses are covered by the air company, 20% of the established per diem is paid, that is 50% - if it covers only accommodation expenses. If the ticket price for traveling by boat covers food and bed, 20% of the established per diem is paid.

Expenses for using a sleeping-carriage on a business trip abroad are calculated in amount of 50% of the established per diem if:

-         the trip takes – at least 24 hours continuously;
-         they travel at night between 10 p.m. and 6 a.m.;
-         they travel at least 6 (six) hours after 8 p.m.

Transport expenses for a business trip abroad are calculated in amount of the price of a travel tariff for transport approved to be used for a business trip.

4. Per diems

A business trip abroad is a business trip outside the Republic of Macedonia to another country, from one country to another and from one place to another on the territory of another country.

The amount of per diems for certain foreign countries is established by a special act of the Government of the Republic of Macedonia, that is by a resolution on the highest amounts of per diems for business trips and moving abroad that are covered in the current expenses of the managing bodies.

The amount of per diem is paid as:
-         50% of the determined per diem, if a bill is submitted for accommodation and in cases when accommodation is not to be covered by the managing organ;
-         20% of the determined per diem, if the food and accommodation expenses are not to be covered  by the managing organ;
-         5% of the determined per diem, if expenses for vocational training are to be covered by the organ of state management and the sojourn is over 30 days. Vocational training implies visiting seminars, courses, symposiums and other kinds of meetings organized abroad on a multilateral or bilateral basis.

5. Conditions under which per diem is calculated

Calculation of expenses for business trips abroad is determined through a per diem as:
-         one per diem for each 24 hours spent on a business trip abroad and if the whole trip lasts more than 12 hours;
-         half per diem – for 12 hours spent on a business trip abroad, and in case when the rest of the time is continuously longer than 8 hours.

Per diem determined for a country where the employee goes to business trip is calculated from the time of crossing the border of the Republic of Macedonia.

Per diem determined for a country one comes from – until the time of crossing the border of the Republic of Macedonia.

If a plane is used for the business trip, per diem is calculated from the time of taking off from the Republic of Macedonia, until the time of landing in the Republic of Macedonia.

If the business trip covers several countries, when leaving the pre diem is calculated for the country where the business trip starts, and when coming back, the per diem is calculated established for the country where the business trip ends.
 

Used material: General collective agreement for legal entities
performing non-economic activities; Bulletin FB, Regulation on expenses for business trips