Do you or others in your company travel for business? The IRS has released the 2017-2018 per diem rates for substantiating employee business expenses for lodging, meals, and incidental expenses incurred while traveling away from home.

• The Meal and Incidental Expense (M&IE) rates for the transportation industry remain at $63 for travel in the continental U.S. and $68 for travel outside the continental U.S.
• The per diem for travel to high-cost localities increases from $282 to $284 ($68 for M&IE), while the rate for travel to other localities increases from $189 to $191 ($57 for M&IE)
• The incidental-expenses-only rate remains at $5 per day

These revised rates and list of high-cost locations apply to per diem allowances paid to employees after September 30, 2017.

For more information on business expenses and deductions, please contact Gray, Gray & Gray’s Tax Department at (781) 407-0300.