Number: SOP-TVL-02
Subject: Requesting Reimbursement for Interrupted Travel
Summary: Request reimbursement or credit for travel cancelled due to COVID-19.
Source: University Travel Management Services
Date of Issue: 03/19/2020
Date of Revision: 01/05/2022
Rationale
To provide guidance to travelers and departments on the substantiation requirements of reimbursement claims for travel impacted by the coronavirus (COVID-19). The procedures outlined in this document are applicable to all travelers: faculty, staff, students and non-employees/non- students.
Procedure
If your business travel has been canceled as a result of the coronavirus, the first step is to request a refund directly from the airline, designated travel agency (i.e., Egencia, Altour, Travel Leaders, Bliss Travel) or supplier with whom you booked your airfare, hotel, ground transportation or conference registration.
If the travel provider will not issue a refund and you plan to seek reimbursement from IU, please document the provider’s response. There are several reimbursement options available.
| Purchase Method | Using Credits | Traveler Reimbursement |
|---|---|---|
| I booked my trip through IU’s Egencia Portal and used an IU account to bill my airfare to the university. | Your airfare was billed directly to the university. If your flight is non-refundable, a travel credit will be issued upon cancellation of airfare, in most cases. Not all flights are eligible for a refund or credit voucher. If issued, the credit voucher will be available for use in your Egencia Traveler Profile. Hotel refunds will appear as a credit in your Chrome River ewallet. Refunds can take 1-7 weeks to appear in the ewallet. | Not applicable |
| I booked my trip through an IU Designated Travel Agency and used an IU account to bill my airfare to the university. | Since your airfare was billed directly to the university, a travel credit will be issued upon cancellation of airfare, in most cases. The agency will provide instructions for using your credit. Refunds can take 1-7 weeks to appear in the ewallet. | Not applicable |
| I am a travel arranger for a non- employee and booked airfare through IU’s Egencia portal and used an IU account to bill the airfare to the university | Since the airfare was billed directly to the university, a travel credit will be issued upon cancellation of airfare, in most cases. The credit voucher is issued in the non-employee’s name and appears in the travel arranger’s Egencia profile in the Payment type folder in the Unused tickets section. Egencia’s help tool provides instructions for applying the credit towards a flight purchase. Unless the guest is invited back by IU for a valid business purpose, the ticket will remain unused and the credit will expire. | Not applicable |
| I paid out of pocket to book my trip. | 1. If the travel provider refuses to issue a refund or credit, you can request reimbursement through Chrome River. 2. If the travel provider does issue a credit but you do not have any other travel needs within the time period in which the credit can be used, you can request immediate reimbursement. Reimbursement must be approved by your department and requested through Chrome River. 3. If the travel provider does issue a credit and you do have business travel needs within the time period in which the credit can be used, you can request reimbursement through Chrome River. | 1. Review instructions to request reimbursement. 2. Review instructions to request reimbursement. 3. Review instructions to request reimbursement. |
Additional considerations:
Cancellation fees:
If you have cancellation fees, reissue fees, or penalties related to travel, submit the cancellation fee as part of your reimbursement request. Fees and penalties must be substantiated with proof of payment and an explanation of the fee/penalty.
Accountable Plan 120 day and 365 day reimbursement deadlines:
The nontaxable, safe harbor period starts when the trip utilizing credits ends. Please add a note to your reimbursement that the original trip was canceled due to impact from coronavirus keep your reimbursement from being taxed.
Reporting credits to your department:
Report the amount of credit issued, expiration date and expense type (air, hotel, ground transportation, etc.) to Departmental Fiscal Staff so they can help you track your credit.
Using an IU account credit for future travel
I used an IU account to book my travel:
If you used an IU account to book the travel, you will need to monitor your Chrome River ewallet for debits and credits associated with your canceled trip and reconcile the transactions in a travel report in a timely manner.
Your reconciliation should include the following:
- Report Name & Business Purpose stated as, “Travel Impacted by COVID-19”.
- Transaction record added from ewallet.
- Receipt from original transaction and applied credit.
Requesting reimbursement through Chrome River
I paid out of pocket and the travel provider refused to issue a refund or credit voucher:
If the travel provider refused to issue a refund or a credit voucher you may request reimbursement using the appropriate travel expense report.
Your reimbursement request through Chrome River should include the following:
- Business Purpose stated as, “Travel impacted by COVID-19”.
- Original receipt showing proof of payment.
- Support documentation from the provider refusing the refund or credit voucher.
- Statement from Departmental leadership (Fiscal Officer and/or Dean) approving the reimbursement.
I paid out of pocket and the travel provider issued a credit voucher, but I have no travel plans for 12 months:
In most cases, a credit voucher issued by the travel provider can be used within 12 months. If the traveler is not able to use the credit within the specified time period, they can request immediate reimbursement using the appropriate travel expense report Chrome River.
Your reimbursement request should include the following:
- Business Purpose stated as, “Travel impacted by COVID-19”.
- Original receipt showing proof of payment.
- Support documentation from the provider refusing the refund and showing the amount of credit issued, plus any cancellation and reissue fees charged.
- Statement from the employee/traveler attesting they are not able to use the credit for leisure travel in the specified time period, and if they do use the credit they will reimburse the IU account that funded the reimbursement.
- Statement from Departmental leadership (Fiscal Officer and/or Dean) approving the reimbursement.
I paid out of pocket, the travel provider issued a credit voucher, and I do have travel plans in the next 12 months:
There are several reimbursement options available for travelers who are issued a credit voucher for an unused airline ticket and have travel plans in the next 12 months:
- Submit original receipts and support documentation and request immediate reimbursement of the full purchase amount.
- Include a statement indicating you intend to use the credit for business travel and will reimburse the IU account that funded the reimbursement if the credit is used for leisure travel instead.
- Request immediate reimbursement of cancellation fees only using the Air Travel “Change Ticket Fee” tile.
- You can request reimbursement of credit used for business travel later or,
- Use the credit voucher for leisure travel (Chrome River is not used if credit voucher is used for leisure travel).
I paid out of pocket and want to be reimbursed for cancellation fees right now:
Use the appropriate travel report in Chrome River and specify the following:
- Business Purpose stated as, “Travel impacted by COVID-19”.
- Select the appropriate Expense Type tile:
- Airfare – use the Air Travel “Change Ticket Fee” tile.
- Car Rental – use the “Other-Ground Transportation”
- Hotel – use the “Hotel Other” tile.
- Substantiation of the cancellation fees, i.e., proof of the fee by travel provider, or present the original receipt showing amount paid minus the documented credit voucher amount.