The Inner Income Service issued its annual discover offering the 2022-2023 particular per diem charges for taxpayers to make use of in substantiating the quantity of unusual and crucial enterprise bills incurred whereas touring away from house.
Discover 2022-44, launched Monday by the IRS, gives the particular per diem charges efficient Oct. 1, 2022, that taxpayers can use to substantiate the quantity of bills for lodging, meals, and incidental bills when touring away from house. The discover consists of the particular transportation trade fee, the speed for the incidental bills solely deduction, and the charges and listing of high-cost localities for functions of the high-low substantiation technique.
Use of a per diem substantiation technique is not necessary, the IRS famous. Taxpayers can substantiate their precise allowable bills in the event that they preserve satisfactory information or different proof for correct substantiation.
The particular meal and incidental expense charges for taxpayers within the transportation trade are $69 for any locality of journey within the continental U.S. and $74 for any locality of journey exterior the continental U.S. The speed for any locality of journey both inside or exterior the continental U.S. for the incidental bills solely deduction is $5 per day. These charges are consistent with the charges introduced final yr (see story).
For functions of the high-low substantiation technique, the per diem charges in lieu of the charges described final yr are $297 for journey to any high-cost locality and $204 for journey to every other locality inside the continental U.S. (Final yr, the charges have been almost similar, at $296 for journey to any high-cost locality and $202 for journey to every other locality inside the continental U.S.)Â
The quantity of the $297 excessive fee and the $204 low fee that is handled as paid for meals is $74 for journey to any high-cost locality and $64 for journey to every other locality inside the continental U.S. The per diem charges in lieu of the charges described in final yr’s discover are, once more, $74 for journey to any high-cost locality and $64 for journey to every other locality inside the continental U.S.Â
The discover goes on to supply an inventory of cities which have a federal per diem fee of $250 or extra, and are thought of to be high-cost localities for this portion of the yr.