What is the Expense Reimbursement policy in Qatar?

This policy explains how business expenses are reimbursed in Qatar, including mileage practices, documentation standards, per diems, and taxability considerations. While Qatar currently has no personal income tax, companies must still maintain robust evidence and controls to meet audit and compliance standards (and any VAT obligations if/when applicable in specific sectors).

1) Travel & Mileage

Mileage (Personal Vehicle)

• No government‑set mileage rate in Qatar.
• Employers may set an internal rate, as common practice: QAR 1.0–1.5 per km—or reimburse actual fuel receipts.
• To keep reimbursements compliant and non‑taxable (in a no‑income‑tax regime), mileage claims should include a mileage log with:
  • Date
  • Route / destination
  • Purpose of trip
  • Kilometres driven

Parking & tolls are not included in the mileage rate and should be claimed separately with receipts.

Reasonableness & Purpose

• No legal caps on travel days or cost, but all travel must be business‑related, reasonable, and documented.
• Excessive, personal, or unsubstantiated claims may be denied and can create compliance risk.

2) Transportation & Lodging

• Air: Economy is standard; business class only if permitted by employer policy (e.g., long‑haul or senior roles with prior approval).
• Taxi / Uber / Karwa: Receipts preferred. If the app doesn’t provide detailed receipts, screenshots are acceptable (date, time, fare, route).
• Bus / Metro: Submit QR‑coded tickets or top‑up receipts.
• Rental Cars: Provide rental contract, invoice/receipt, and fuel receipts. Insurance and tolls are reimbursable when business‑related.
• Hotels: Hotel invoices must detail stay dates, rate, and taxes/fees if any.
• Meals during business travel: Reimbursable when supported by receipts and aligned with internal policy (or covered by per diem—no double claims).

Not reimbursable: Traffic fines (speeding, illegal parking), personal detours, or luxury add‑ons not justified by business needs.

3) Invoicing & Documentation

Even though there’s no personal income tax, employers should retain compliant documentation for audits and VAT (where applicable).

Each expense should include:

• Vendor name
• Date
• Description of service/product
• Amount paid (currency)
• VAT (if charged/applicable)
• Business purpose (who/what/why)
• For travel: itinerary, boarding passes, or app trip records when relevant

Receipts are required for all expenses, except:

• Taxis: If apps cannot generate full receipts, screenshots with trip details are acceptable.
• Tolls: App logs/printed toll statements are acceptable.
• Parking meters: Machine tickets or a clear photo of the meter ticket (showing plate, time, amount) are acceptable where no printed receipt is issued.

Keep original or digital receipts in readable form. Card slips alone are not sufficient, pair them with a receipt.

4) Reimbursement & Taxability

Generally Reimbursable (as long as documented)

• Airfare, accommodation, and meals while traveling
• Local transport: Taxi/Uber/Karwa, bus, metro
• Fuel for business trips (actual receipts) or mileage at company rate with km log
• Toll fees and official parking
• Client‑meeting meals (itemized)
• Office supplies for work
• Employer‑approved training/conference costs

Per Diems

• No government‑set per diem in Qatar; per diems are company‑defined and not taxable (no personal income tax).
• Typical corporate ranges:
  • Domestic: QAR 100–200 per day
  • International: Company‑defined by destination cost

Entertainment, Gifts & Alcohol

• Must be reasonable, business‑motivated, and supported with receipts & attendee list (client names, purpose).
• Alcohol is heavily restricted in Qatar; claims for alcohol are not reimbursable unless legally purchased in licensed venues and allowed by company policy.
• Gifts should be modest, culturally appropriate, and business‑justified.

Wellness & Personal Expenses

• Typically not reimbursable unless part of a company‑approved wellness program:
  • Medical, gym, therapy, yoga, sports are not reimbursable as business expenses under standard policy.

5) VAT / Indirect Tax Notes

• Qatar does not have a fully implemented general VAT regime at this time; however, certain industries or scenarios may face indirect tax rules.
• Where VAT or similar applies, ensure invoices show the VAT amount and supplier details.
• If your company operates across borders, apply the destination country’s tax receipt standards for those specific expenses.

6)  Employee Quick Checklist

Before travel

• Obtain pre‑approval for itinerary and class of travel
• Confirm whether you’ll claim per diem or actuals (no double claiming)
• Know your company’s mileage rate and what it covers

During travel

• Collect receipts (or app screenshots) for every claim
• Keep parking/toll receipts separate from mileage
• Record business purpose and attendees (client meals)

After travel

• Submit mileage logs (date, route, km, purpose)
• Attach e‑tickets/boarding passes or trip summaries