Employees working from home during the coronavirus pandemic claimed some outlandish expenses this year, including pricey exercise bikes, facelifts and private jets.
Emburse, an expense management software company, released a compilation Wednesday of some of the craziest expenses it has seen claimed this year, some of which were actually approved. That included $1,895, which was approved as a contribution for an employee's Peloton Bike under the explanation of “for health and wellness.” On the other hand, a $7,600 expense claim for a facelift was submitted under the category of “repairs and maintenance” but was rejected, despite the pressing need to look one’s best during a Zoom meeting.
Don Reiser is a managing director at CBIZ MHM who serves as the national leader of the CBIZ international tax practice. He has more than 30 years experience providing international tax consulting services to public and privately-held U.S. and foreign-based corporations as well as foreign individuals and businesses investing in the United States.
Jan Smallenbroek is a managing director of tax at CBIZ MHM who has been serving clients since 1994. He focuses on supply chain structures and the related international tax and transfer pricing implications, assisting companies to efficiently structure their manufacturing and distribution tax footprint. He also assists with global tax rate structures, tax filings and compliance and transactional due diligence services.
Richard L. Chen is the founder of and lead counsel at Brightstar Law Group, a law firm specializing in providing RIA compliance consulting and corporate law services to wealth managers, financial planners, family offices and private fund sponsors.
Before launching his practice, Chen spent many years at several preeminent law firms in New York including Simpson Thacher & Bartlett; K&L Gates; Schulte Roth & Zabel; and Arnold & Porter.
Some expenses weren’t for working from home, but more about getting out of the house safely. An expense claim for a private jet charter costing over $20,000 was submitted and approved under the explanation of “required to limit COVID exposure for international shoots.” Another travel-related expense claim was $2,500 for a helicopter ride, which was not approved.
The $79 expense claim for a dog crate could perhaps be used for travel at some point when that's safer, but in these times it was more plausibly to provide "crate training [for] a new COVID puppy to not run into Zoom meetings."
Below is an infographic produced by Emburse showing this and several other head-scratching claims:
