2023 Per Diem Rate
For 2023, the Per Diem Rate is $297 (High-cost locality), $204 (Other locality within CONUS), $5 (Incidental expenses only) and 5 more figures below.
| Item | High-cost locality | Other locality | CONUS | OCONUS |
|---|---|---|---|---|
| Meals portion | $74 | $64 | - | - |
| Transportation industry M&IE | - | - | $69 | $74 |
A dash is a figure this site has not published for that row, not an amount of zero.
Effective 2022-10-01Source: Notice 2022-44 (IRS)Verified 2026-08-31
Compared with 2022
| Item | 2022 | 2023 | Change |
|---|---|---|---|
| High-cost locality | $296 | $297 | +$1 (+0.3%) |
| Other locality within CONUS | $202 | $204 | +$2 (+1.0%) |
| Incidental expenses only | $5 | $5 | +$0 (+0.0%) |
| High-cost threshold | $249 | $250 | +$1 (+0.4%) |
| Meals portion, high-cost locality | $74 | $74 | +$0 (+0.0%) |
| Meals portion, other locality | $64 | $64 | +$0 (+0.0%) |
| Transportation industry M&IE, CONUS | $69 | $69 | +$0 (+0.0%) |
| Transportation industry M&IE, OCONUS | $74 | $74 | +$0 (+0.0%) |
Localities the document lists
88 localities in 30 states, each named as the document prints it.
| Locality | State | Portion of the calendar year |
|---|---|---|
| Gulf Shores Baldwin | Alabama | June 1 – July 31 |
| Phoenix/Scottsdale Maricopa | Arizona | February 1 – March 31 |
| Sedona City limits of Sedona | Arizona | October 1 – September 30 |
| Los Angeles Los Angeles, Orange, and Ventura, and Edwards AFB, but not Santa Monica | California | October 1 - October 31 and January 1 - September 30 |
| Mill Valley/San Rafael/Novato Marin | California | October 1 – October 31 and June 1 – September 30 |
| Monterey Monterey | California | June 1 – August 31 |
| Napa Napa | California | October 1 –September 30 |
| Oakland Alameda | California | October 1 – September 30 |
| San Diego San Diego | California | February 1 – August 31 |
| San Francisco San Francisco | California | October 1 – September 30 |
| San Luis Obispo San Luis Obispo | California | June 1 – August 31 |
| San Mateo/Foster City/Belmont San Mateo | California | October 1 – September 30 |
| Santa Barbara Santa Barbara | California | October 1 – September 30 |
| Santa Monica City limits of Santa Monica | California | October 1 – September 30 |
| Sunnyvale/Palo Alto/San Jose Santa Clara | California | October 1 – September 30 |
| Aspen Pitkin | Colorado | October 1 – March 31 and June 1 – September 30 |
| Denver/Aurora Denver, Adams, Arapahoe, and Jefferson | Colorado | October 1 – October 31 and April 1 – September 30 |
| Durango La Plata | Colorado | June 1 – September 30 |
| Grand Lake Grand | Colorado | December 1 – March 31 |
| Silverthorne/Brecken ridge Summit | Colorado | October 1 – March 31 and June 1 – September 30 |
| Steamboat Springs Routt | Colorado | December 1 – March 31 |
| Telluride San Miguel | Colorado | October 1 – September 30 |
| Vail Eagle | Colorado | October 1 – September 30 |
| Lewes Sussex | Delaware | July 1 – August 31 |
| Washington D.C. (also the cities of Alexandria, Falls Church, and Fairfax, and the counties of Arlington and Fairfax, in Virginia; and the counties of Montgomery and Prince George's in Maryland) (See also Maryland and Virginia) | District of Columbia | October 1 – September 30 |
| Boca Raton/Delray Beach/Jupiter Palm Beach and Hendry | Florida | December 1 – April 30 |
| Bradenton Manatee | Florida | February 1 – March 31 |
| Cocoa Beach Brevard | Florida | February 1 – March 31 |
| Fort Lauderdale Broward | Florida | October 1 – April 30 |
| Fort Myers Lee | Florida | February 1 – March 31 |
| Fort Walton Beach/DeFuniak Springs Okaloosa and Walton | Florida | October 1 – October 31 March 1 – September 30 |
| Gulf Breeze Santa Rosa | Florida | June 1 – July 31 |
| Key West Monroe | Florida | October 1 – September 30 |
| Miami Miami-Dade | Florida | December 1 – March 31 |
| Naples Collier | Florida | December 1 – April 30 |
| Panama City Bay | Florida | June 1 – July 31 |
| Pensacola Escambia | Florida | June 1 – July 31 |
| Punta Gorda Charlotte | Florida | February 1 – March 31 |
| Sarasota Sarasota | Florida | February 1 – April 30 |
| Sebring Highlands | Florida | February 1 – March 31 |
| Stuart Martin | Florida | February 1 – March 31 |
| Vero Beach Indian River | Florida | December 1 – April 30 |
| Jekyll Island/ Brunswick Glynn | Georgia | March 1 – July 31 |
| Sun Valley/Ketchum Blaine and Elmore | Idaho | December 1 – March 31 and June 1 – September 30 |
| Chicago Cook and Lake | Illinois | October 1 – November 30 and April 1 – September 30 |
| Bar Harbor/ Rockport Hancock and Knox | Maine | October 1 – October 31 and July 1 – September 30 |
| Kennebunk/Kittery/S anford York | Maine | July 1 – August 31 |
| Portland Cumberland and Sagadahoc | Maine | July 1 – August 31 |
| Ocean City Worcester | Maryland | July 1 – August 31 |
| Washington, DC Metropolitan Area Montgomery and Prince George’s | Maryland | October 1 – September 30 |
| Boston/Cambridge Suffolk and City of Cambridge | Massachusetts | October 1 – September 30 |
| Falmouth City limits of Falmouth | Massachusetts | May 1 – August 31 |
| Hyannis Barnstable less the city of Falmouth | Massachusetts | July 1 – August 31 |
| Martha's Vineyard Dukes | Massachusetts | October 1 – September 30 |
| Nantucket Nantucket | Massachusetts | October 1 –September 30 |
| Mackinac Island Mackinac | Michigan | July 1 – August 31 |
| Petoskey Emmet | Michigan | July 1 – August 31 |
| Traverse City Grand Traverse | Michigan | July 1 – August 31 |
| Duluth St. Louis | Minnesota | October 1 – October 31 and June 1 – September 30 |
| Big Sky/West Yellowstone/Gardiner Gallatin and Park | Montana | June 1 – September 30 |
| Kalispell/Whitefish Flathead | Montana | July 1 – August 31 |
| Carlsbad Eddy | New Mexico | October 1 – September 30 |
| Toms River Ocean | New Jersey | July 1 – August 31 |
| Glens Falls Warren | New York | July 1 – August 31 |
| Lake Placid Essex | New York | July 1 – August 31 |
| New York City Bronx, Kings, New York, Queens, and Richmond | New York | October 1 – December 31 and March 1 – September 30 |
| Kill Devil Hills Dare | North Carolina | April 1 – September 30 |
| Lincoln City Lincoln | Oregon | July 1 – August 31 |
| Portland Multnomah | Oregon | October 1 – October 31 and June 1 – September 30 |
| Seaside Clatsop | Oregon | July 1 – August 31 |
| Hershey Hershey | Pennsylvania | June 1 – August 31 |
| Philadelphia Philadelphia | Pennsylvania | October 1 – November 30, March 1 – June 30, and September 1 – September 30 |
| Jamestown/Middleto wn/Newport Newport | Rhode Island | October 1 – October 31 and June 1 – September 30 |
| Charleston Charleston, Berkeley, and Dorchester | South Carolina | October 1 –September 30 |
| Hilton Head Beaufort | South Carolina | June 1 – August 31 |
| Myrtle Beach Horry | South Carolina | June 1 – August 31 |
| Nashville Davidson | Tennessee | October 1 – September 30 |
| Moab Grand | Utah | October 1 – October 31 and March 1 – September 30 |
| Park City Summit | Utah | October 1 – September 30 |
| Virginia Beach City of Virginia Beach | Virginia | June 1 – August 31 |
| Wallops Island Accomack | Virginia | July 1 – August 31 |
| Washington, DC Metro Area Cities of Alexandria, Falls Church, and Fairfax; Counties of Arlington and Fairfax | Virginia | October 1 – September 30 |
| Manchester Bennington | Vermont | October 1 – September 30 |
| Port Angeles/Port Townsend Clallam and Jefferson | Washington | July 1 – August 31 |
| Seattle King | Washington | October 1 – September 30 |
| Vancouver Clark, Cowlitz, and Skamania | Washington | October 1 – October 31 and June 1 – September 30 |
| Cody Park | Wyoming | June 1 – September 30 |
| Jackson/Pinedale Teton and Sublette | Wyoming | October 1 – September 30 |
Who it applies to
Taxpayers who travel away from home for business and use the per diem method to substantiate lodging and meal expenses, including those using the high-low substantiation method.
What changed this year, and why
For 2023, the IRS per diem rates under the high-low substantiation method are $297 per day for travel to any high-cost locality and $204 per day for travel to any other locality within the continental United States (CONUS). The incidental-expenses-only rate is $5 per day. These rates are set by IRS Notice 2022-44 and apply for the period October 1, 2022, through September 30, 2023.
Common questions
- What is the high-low substantiation method?
- The high-low substantiation method allows a taxpayer to use a simplified per diem rate instead of tracking actual lodging costs. Under this method, a single high-cost rate applies to designated high-cost localities and a lower rate applies to all other localities within the continental United States.
- Can a locality be high-cost for only part of the year?
- Yes. A locality may be designated as high-cost for only part of the calendar year. During the rest of the year, the other-locality rate applies.
What a per diem rate actually proves
The 2023 per diem rates published by the IRS in Notice 2022-44 exist to let taxpayers substantiate ordinary and necessary business expenses incurred while traveling away from home without having to track every actual receipt. Under § 274(d) of the Internal Revenue Code and the related income tax regulations, a taxpayer who uses these rates has a safe-harbor method to prove the amount of lodging and meal and incidental expenses paid or incurred during business travel. The rates cover three specific substantiation options: the special transportation-industry meal and incidental expenses rates, the incidental-expenses-only deduction rate, and the high-low method rates along with the list of high-cost localities. Compliance with Rev. Proc. 2019-48 (or its successor) is required when using the rates and locality list provided in the notice.
This annual notice provides the 2022-2023 special per diem rates for taxpayers to use in substantiating the amount of ordinary and necessary business expenses incurred while traveling away from home, specifically (1) the special transportation industry meal and incidental expenses (M&IE) rates, (2) the rate for the incidental expenses only deduction, and (3) the rates and list of high-cost localities for purposes of the high-low substantiation method.
Notice 2022-44 (IRS)
What makes a city a high-cost locality
A locality qualifies as a high-cost locality for the IRS high-low per diem method only when its federal per diem rate reaches $250 or more. The notice lists each qualifying city and county along with the specific months of the calendar year during which that elevated rate applies. A locality that meets the $250 threshold for part of the year may use the high rate of $297 only during those designated months; for the rest of the year it falls to the $204 other-locality rate. The list includes cities from coast to coast - from Gulf Shores, Alabama, in the summer to Jackson, Wyoming, in the autumn. Taxpayers who travel to a listed locality during its specified high-cost portion can substantiate at the $297 rate; travel outside those months uses the $204 rate.
The following localities have a federal per diem rate of $250 or more, and are high-cost localities for the specified portion of the calendar year:
Notice 2022-44 (IRS)
What changed in the high-cost list since last year
This is the largest reshuffle in the series. A long run of Gulf Coast and resort towns joined the high-cost list, among them Gulf Shores, Phoenix/Scottsdale, San Luis Obispo, Durango, Steamboat Springs, Bradenton, Cocoa Beach, Panama City, Pensacola, Sarasota, Sun Valley, Portland, Mackinac Island, Duluth, Kalispell/Whitefish, Toms River, Glens Falls, Kill Devil Hills, Lincoln City, Myrtle Beach, Moab, Manchester and Port Angeles. Sedona, Napa, San Diego, Silverthorne/Breckenridge, Fort Lauderdale, Key West, Bar Harbor, Falmouth, Martha’s Vineyard, Nantucket, Newport, Charleston, Park City and Jackson/Pinedale changed the months they count for. Only one locality came off, Crested Butte/Gunnison, Colorado. If a page comparing this year with the last one shows the rates barely moving, the list is where the change actually happened.
a. The following localities have been added to the list of high-cost localities: Gulf Shores, Alabama; Phoenix/Scottsdale, Arizona; San Luis Obispo, California; Durango, Colorado; Steamboat Springs, Colorado; Bradenton, Florida; Cocoa Beach, Florida; Gulf Breeze, Florida; Panama City, Florida; Pensacola, Florida; Punta Gorda, Florida; Sarasota, Florida; Sebring, Florida; Stuart, Florida; Sun Valley/Ketchum, Idaho; Portland, Maine; Mackinac Island, Michigan; Duluth, Minnesota; Kalispell/Whitefish, Montana; Toms River, New Jersey; Glens Falls, New York; Kill Devil Hills, North Carolina; Lincoln City, Oregon; Myrtle Beach, South Carolina; Moab, Utah; Manchester, Vermont; Port Angeles/Port Townsend, Washington. b. The following localities have changed the portion of the year in which it is a high- cost locality: Sedona, Arizona; Napa, California; San Diego, California; Silverthorne/Breckenridge, Colorado; Fort Lauderdale, Florida; Fort Walton Beach/De Funiak Springs, Florida; Key West, Florida; Bar Harbor/Rockport, Maine; Falmouth, Massachusetts; Martha’s Vineyard, Massachusetts; Nantucket, Massachusetts; Jamestown/Middleton/Newport, Rhode Island; Charleston, South Carolina; Park City, Utah; Jackson/Pinedale, Wyoming. c. The following locality has been removed from the list of high-cost localities: Crested Butte/Gunnison, Colorado.
Notice 2022-44 (IRS)
How much of the rate counts as meals
Under § 274(n) of the Internal Revenue Code, only a portion of meal and incidental expenses is generally deductible for business travel. The IRS high-low method breaks out the meals component from each total per diem rate so the taxpayer and the employer can apply that limitation correctly. Of the $297 high-cost locality rate, $74 is treated as paid for meals. Of the $204 other-locality rate, $64 is treated as paid for meals. The remainder of each total rate covers lodging and incidental expenses. If only meals and incidental expenses are being substantiated (without lodging), the rates are $74 for high-cost localities and $64 for all other CONUS localities. These meals amounts determine the portion subject to the percentage limitation that applies to business meal deductions.
The amount of the $297 high rate and $204 low rate that is treated as paid for meals for purposes of § 274(n) is $74 for travel to any high- cost locality and $64 for travel to any other locality within CONUS.
Notice 2022-44 (IRS)
How much of the meals portion you can actually deduct
A per diem rate is not a deduction. It is the ceiling on what can be treated as substantiated, and the meals part of it is then cut again before it reaches a tax return: whichever method you use, you can generally deduct only 50% of the unreimbursed cost of your meals. On the high-low method the meals part is the figure this page publishes above, $74 a day in a high-cost locality and $64 a day anywhere else in CONUS, so it is half of that amount, not the whole rate, that survives the limit. The lodging part of the rate is not touched by it, and neither is the incidental-expenses-only amount.
Both of these methods are explained below. But, regard- less of the method you use, you can generally deduct only 50% of the unreimbursed cost of your meals.
Publication 463 (2023), Travel, Gift, and Car Expenses (IRS)
Drivers and crews get their own M&IE rate
Taxpayers who work in the transportation industry - such as long-haul truck drivers, airline pilots, and ship crews - have a dedicated meal and incidental expenses rate that differs from the standard high-low rates. For any travel within the continental United States, the special M&IE rate is $69 per day. For any travel outside the continental United States, the rate is $74 per day. These flat rates apply regardless of the particular city or county visited, so transportation-industry workers do not need to track which localities are designated high-cost. The rates are set under section 4.04 of Rev. Proc. 2019-48, which governs how the transportation-industry meal allowance is substantiated for business-travel deductions.
The special M&IE rates for taxpayers in the transportation industry are $69 for any locality of travel in the continental United States (CONUS) and $74 for any locality of travel outside the continental United States (OCONUS).
Notice 2022-44 (IRS)
The rates change on October 1, not January 1
The per diem rates published in Notice 2022-44 take effect on October 1, 2022, not on January 1. The notice is effective for per diem allowances for lodging, meal and incidental expenses, or for meal and incidental expenses only, that are paid to any employee on or after that date for travel away from home on or after October 1, 2022. This means the rate year for IRS per diem purposes runs from October 1 of one year through September 30 of the next. A taxpayer who travels in, say, July 2023 is using the prior year's rates (those in effect since October 1, 2022), not a new set of rates tied to the calendar year. Section 6 of the notice also points to transition rules in Rev. Proc. 2019-48 for the last three months of calendar year 2022, when the old and new rates overlapped.
This notice is effective for per diem allowances for lodging, meal and incidental expenses, or for meal and incidental expenses only, that are paid to any employee on or after October 1, 2022, for travel away from home on or after October 1, 2022.
Notice 2022-44 (IRS)
The first and last day of a trip are not full days
A trip that starts at lunchtime and ends at breakfast does not buy two full days of meals. For the day you leave and the day you come back, the M&IE rate has to be prorated, and Publication 463 gives two ways to do it: claim 3/4 of the standard meal allowance for each of those days, or prorate by any method you apply consistently and that is in accordance with reasonable business practice. Only the meals and incidental side is prorated. Lodging is not, because a night away from home is either bought or it is not. An employer reimbursing under the high-low method prorates the meals part the same way, which is why the per diem paid for a departure day is smaller than the daily rate printed above.
Travel for days you depart and return. For both the day you depart for and the day you return from a business trip, you must prorate the standard meal allowance (figure a reduced amount for each day). You can do so by one of two methods. • Method 1: You can claim 3/4 of the standard meal al- lowance.
Publication 463 (2023), Travel, Gift, and Car Expenses (IRS)
An allowance paid above the federal rate is wages
Nothing stops an employer paying more than the federal rate. What it cannot do is call the extra a reimbursement. Where an accountable plan pays an allowance higher than the federal rate, the traveller does not have to return the difference, but the difference is reported as wages on the Form W-2 and is taxed and withheld on like any other pay. Only the part up to the federal rate stays out of income. That is what the rates on this page are for a reader who deducts nothing at all: the line above which an allowance stops being an expense reimbursement and becomes salary.
Per diem allowance more than federal rate. If your employer's accountable plan pays you an allowance that is higher than the federal rate, you don’t have to return the difference between the two rates for the period you can prove business-related travel expenses. However, the dif- ference will be reported as wages on your Form W-2. This excess amount is considered paid under a nonaccounta- ble plan (discussed later).
Publication 463 (2023), Travel, Gift, and Car Expenses (IRS)
There is no per diem for lodging, only for meals
The standard meal allowance is open to anyone travelling on business, employee or self-employed, reimbursed or not. Lodging is not. There is no optional standard lodging amount, so the lodging deduction is the actual cost and nothing else, proved by the actual bill. That is the practical split for a self-employed traveller reading this page: the M&IE side of the notice can be used instead of meal receipts, and the full lodging-plus-meals rates above cannot, because they are written for a payor reimbursing an employee rather than for someone deducting their own hotel.
There is no optional standard lodging amount similar to the standard meal allowance. Your al- lowable lodging expense deduction is your actual cost. Who can use the standard meal allowance. You can use the standard meal allowance whether you are an em- ployee or self-employed, and whether or not you are reim- bursed for your traveling expenses.
Publication 463 (2023), Travel, Gift, and Car Expenses (IRS)
Who can deduct travel an employer did not reimburse
For most employees the honest answer is that they cannot. Unreimbursed employee travel is claimed on Form 2106, and Form 2106 is only used by Armed Forces reservists, qualified performing artists, fee-basis state or local government officials, and employees with impairment-related work expenses. An employee outside those categories who is paid nothing, or paid less than the federal rate, deducts nothing for the shortfall. The rates on this page still matter to that employee, but as the measure of what an employer can reimburse tax free rather than as a deduction. A self-employed traveller is unaffected by any of this and deducts on a business schedule.
You must complete Form 2106 and itemize your deduc- tions to deduct your expenses for travel, transportation, or non-entertainment-related meals. Your meal and enter- tainment expenses will be subject to the 50% Limit dis- cussed in chapter 2. Form 2106 is only used by Armed Forces reserv- ists, qualified performing artists, fee-basis state or local government officials, and employees with impairment-related work expenses.
Publication 463 (2023), Travel, Gift, and Car Expenses (IRS)
How each figure was verified
Each number below was read from a stored copy of the document named beside it, and checked to occur word for word in the quoted sentence. The digest is of that stored text.
Notice 2022-44 (IRS)
- High-cost locality
are $297 for travel to any high-cost locality and $204 for travel to any other locality within CONUS.
- Other locality within CONUS
are $297 for travel to any high-cost locality and $204 for travel to any other locality within CONUS.
- Incidental expenses only
The rate for any CONUS or OCONUS locality of travel for the incidental expenses only deduction is $5 per day.
- High-cost threshold
The following localities have a federal per diem rate of $250 or more, and are high-cost localities for the specified portion of the calendar year:
- Meals portion, high-cost locality
The amount of the $297 high rate and $204 low rate that is treated as paid for meals for purposes of § 274(n) is $74 for travel to any high- cost locality and $64 for travel to any other locality within CONUS.
- Meals portion, other locality
The amount of the $297 high rate and $204 low rate that is treated as paid for meals for purposes of § 274(n) is $74 for travel to any high- cost locality and $64 for travel to any other locality within CONUS.
- Transportation industry M&IE, CONUS
The special M&IE rates for taxpayers in the transportation industry are $69 for any locality of travel in the continental United States (CONUS) and $74 for any locality of travel outside the continental United States (OCONUS).
- Transportation industry M&IE, OCONUS
The special M&IE rates for taxpayers in the transportation industry are $69 for any locality of travel in the continental United States (CONUS) and $74 for any locality of travel outside the continental United States (OCONUS).