INCREASE OF THE AMOUNT OF MEAL ALLOWANCE FOR BUSINESS TRIPS FROM 01.01.2023, ACT NO. 283/2022 COLL.

#78Increase of the amount of meal allowance for business trips from 01.01.2023, Act No. 283/2022 Coll.

The issue of catering concerns every employer and employee who have an employment relationship with each other. The issue of the increase in the amount of the meal allowance in conjunction with the amount of the employer's contribution to meals came significantly to the forefront of the debate earlier this year and has been discussed by many media outlets.

In particular, on 07.12.2023, the measure No. 432/2022 Z.z. of the Ministry of Labour, Social Affairs and Family of the Slovak Republic on the amounts of meal allowances was published in the Collection of Laws, the terms of which were brought to public attention as early as 30.11.2022. The newly established amounts of meal allowances are valid from the beginning of the year, i.e. from 01.01.2023. The increase in the individual amounts has pleased many employees, but how have the changes been reflected in the legal environment and what do the various aspects of the changes mean in practical terms?

First of all, it is necessary to clarify and zoom in on the previous legislation, which enshrined the fixed amounts that were provided to employees. For business trips, the meal allowance amounts were last adjusted by a measure of the Ministry of Labour, Social Affairs and Family of the Slovak Republic. The previous legislation provided for individual meal allowance amounts as follows: €6,40 for a time zone of five to twelve hours, €9,60 for a time zone of more than twelve to eighteen hours and €14,50 for a time zone of more than eighteen hours. Such legislation and the fixing of the exact amounts were in force from 01.09.2022 until 31.12.2022.

Since the beginning of this calendar year, the legislation has been amended, which has resulted in an increase in the individual amounts of the meal allowance. In particular, it can be noted that, according to the newly adopted Measure No. 432/2022 Coll. of the Ministry of Labour, Social Affairs and Family of the Slovak Republic, the above-mentioned amounts were amended so that the sum of €6,80 was fixed for the time zone of five to twelve hours, the sum of €10,10 was fixed for the time zone of more than twelve hours to eighteen hours and, lastly, the sum of €15,30 was fixed for the time zone of more than eighteen hours.

If we put the legal adjustments in the measures in question into comparative perspective, the result of the increase will be a difference of 40 cents for the five to twelve hour time zone. For the twelve to eighteen hour time zone, the result of the increase will be an increase of 50 cents and for the twelve hour and over time zone, the difference in amounts has been set at a difference of 80 cents. The increases thus fixed were determined on the basis of data from the Statistical Office of the Slovak Republic on the price index for meals and non-alcoholic beverages in the restaurant catering sector and on the price index for items related to the operation of motor vehicles. In the Act in question, namely Act No. 283/2002 Coll., paragraph 8 section 1 lays down additional conditions for the fulfilment of which it is possible to grant meal allowances to employees. The increased amounts of compensation are due to the employee from the first day of the calendar month following the calendar month in which they were published.

It can therefore be concluded that, following the adoption of the new measure by the aforementioned Ministry, the maximum, and therefore tax-favoured, value of meal vouchers has been increased. At the same time, the value of the meal voucher may not be lower than €5.10 and on 01.01.2023, together with the amendment to the Labour Code, a condition was adopted that the employer is obliged to provide the meal voucher to its employees in electronic form.