IRS Updates Transportation Industry Per Diem Rates

Posted by Greg Zink on Oct 11, 2018 7:57:00 AM
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The transportation industry should take note that on October 1, 2018, per diem rates will increase for employee travel expenses both inside and outside the continental United States. The IRS has increased the 2018–2019 per diem rates for substantiating employee business expenses under IRC Sec. 274(d) for lodging, meals, and incidental expenses incurred while traveling away from home. 

Effective October 1, 2018 , transportation industry per diem rates (Meals and Incidental Expenses) will increase from $63 to $66 for travel in the continental U.S. and from $68 to $71 for travel outside the continental U.S.

Trucking companies currently utilizing per diem programs should review their plans and consider increasing per diem rates to be able to maximize benefits paid to drivers. Properly administered per diem programs help to retain drivers as more money ends up in both the driver’s and company’s pockets.

See IRS Notice 2018-77 or contact Greg Zink for further details


Topics: Business Planning & Operations, Accounting Hot Topics