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Why must the invoice for a medical service paid for through Welfare be made out to the company?

When a medical service is paid through a welfare plan, so directly by Coverflex card, the expense is formally supported by the employer, not by the employee. Welfare benefits are tax-advantaged only if the company is the subject providing the benefit.

For this reason, the invoice must be issued in the company’s name: this ensures that the expense is correctly treated as a company-provided Welfare benefit and maintains the applicable tax exemption.

If the invoice were issued in the employee’s name, it could be treated as a personal expense rather than a Welfare benefit.

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