The IRS released the optional “high-low” per diem rates for lodging expenses and meals and incidental expenses (M&IE) that may be used instead of the General Services Administration’s “actual” per diem rates for travel to locations within the continental U.S (CONUS).
The updated high-low rates apply for travel undertaken on or after October 1, 2024. Notice 2024-68 also lists the special federal M&IE per diem rates applicable to the transportation industry and the per diem rate for incidental expenses.
High-Low Rates
The “high” rate for lodging expenses and M&IE increases to $319 (from $309) for travel to any high-cost locality, while the “low” rate increases to $225 (from $214) for travel to any other locality within CONUS. The rates for M&IE increase to $86 (from $74) for high-cost localities and to $74 (from $64) for any other locality within CONUS.
The notice lists high-cost localities with a federal per diem rate of $272 or more for all of the calendar year or the portion of the calendar year specified. A full listing of the locations is in the October issue of Payroll Currently (Issue 10, Vol. 32).
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Jyme Mariani, Esq., is Managing Editor of Payroll Currently and Senior Manager of Payroll Information Resources for PayrollOrg.
