Page 18 - Ipsos

Annex 1

ACCOUNTING PRINCIPLES

Definition of Pay BU:
The BU where the employee’s payroll is booked. If the employee is paid from two BUs, then the home BU.

Group 1 Group 2 Group 3
Payment
Plane ticket Company pays
Hotel inside MENA Employee pays Receiving subsidiary pays
Hotel outside MENA Employee pays Company or Employee pays, with cash advance if requested
Other expenses Employee pays Employee pays, with cash advance if requested

Accounting charge
Plane ticket Pay BU Pay BU Pay BU (except agreement)
Hotel inside MENA Pay BU Pay BU (re-invoiced by receiving country) Pay BU (except agreement)
Hotel outside MENA Pay BU Pay BU Pay BU (except agreement)
Other expenses Pay BU Pay BU Pay BU (except agreement)

1) Travel expenses are always supported by the pay BU (where the employee’s payroll is registered) and thus
controlled by the financial manager responsible for the pay BU of the employee.

The only 2 exceptions to the rule above are:

1.1. Cost supported by the receiving country

This can occur only in those cases where all the following three conditions are fulfilled:

• The employee belongs to Group 3.
• The travel was not budgeted.
• Both the employee’s and the receiving country’s managing directors agree that the receiving country
should share the expense. In this case, the receiving country’s managing director’s authorization must
be attached to the TRF before signature by the employee’s hierarchy.

1.2. Cost supported by a specific project
If a travel is clearly related to a specific project and has been included in the quote of the project, it must
then be booked as Direct Cost.

2) For employees of Group 2 and Group 3, the receiving company pays the hotel. The expense is then re-
invoiced to the country where the employee has his/her pay BU, including any expected WHT charge The
recharge must occur within maximum 30 calendar days of receiving the invoice from the hotel or travel
agency.

3) Travel expenses must always be accounted for under Travel & Entertainment. The only exceptions to this rule
are for travel expenses:
Travel Expenses Policy & Procedure January 1st, 2017 Page 6 of 7