It is proposed that employees travelling on the employer’s business away from the employer’s municipality receive, in addition to expense reimbursements, premiums for travel away from home of $35 per night where away from home for two or more nights, and an additional weekend premium pf $100 per day where the employee is on standby outside the region during a weekend. CRA stated:
[T]hose allowances cannot fall within the scope of subparagraph 6(1)(b)(vii) as they are clearly personal and living expense allowances that were not received by the employee for travel in the performance of the duties of the employee’s employment. Indeed, the exception in subparagraph 6(1)(b)(vii) is intended to exclude allowances to compensate an employee for expenses incurred in connection with, and not as a result of, travel. While your employees' extended absences may require them to incur certain expenses - for example, child care and housekeeping expenses - those expenses are not incurred while travelling outside the municipality or metropolitan area where the employer's place of business is located.