The IRS has released the 2022-2023 special per diem rates for taxpayers to use to substantiate certain expenses incurred while traveling away from home.
Transportation Industry Special Per Diem Rates
The special M&IE rates for taxpayers in the transportation industry are:
- $69 for any locality of travel in the continental United States
- $74 for any locality of travel outside the continental United States
Incidental Expenses Only Rate
The rate is $5 per day for any travel for the incidental expenses only deduction.
High-Low Substantiation Method
For purposes of the high-low substantiation method, the 2022-2023 special per diem rates are:
- $297 for travel to any high-cost locality
- $204 for travel to any other locality within the continental United States
The amount treated as paid for meals is:
- $74 for travel to any high-cost locality
- $64 for travel to any other locality within the continental United States
Instead of the meal and incidental expenses only substantiation method, taxpayers may use:
- $74 for travel to any high-cost locality
- $64 for travel to any other locality within the continental United States
Taxpayers using the high-low method must meet certain rules for using a per diem rate to substantiate the amount of ordinary and necessary business expenses paid or incurred while traveling away from home. If you have questions, reach out to us for clarification on your particular situation.