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Irs Gov Forms1040x

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Irs Gov Forms1040x

Irs gov forms1040x 4. Irs gov forms1040x   Interest Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Allocation of InterestOrder of funds spent. Irs gov forms1040x Payments from checking accounts. Irs gov forms1040x Amounts paid within 30 days. Irs gov forms1040x Optional method for determining date of reallocation. Irs gov forms1040x Interest on a segregated account. Irs gov forms1040x How to report. Irs gov forms1040x Interest You Can DeductStatement. Irs gov forms1040x Expenses paid to obtain a mortgage. Irs gov forms1040x Prepayment penalty. Irs gov forms1040x De minimis OID. Irs gov forms1040x Constant-yield method. Irs gov forms1040x Loan or mortgage ends. Irs gov forms1040x Interest You Cannot DeductPenalties. Irs gov forms1040x Who is a key person? Exceptions for pre-June 1997 contracts. Irs gov forms1040x Interest allocated to unborrowed policy cash value. Irs gov forms1040x Capitalization of Interest When To Deduct InterestPrepaid interest. Irs gov forms1040x Discounted loan. Irs gov forms1040x Refunds of interest. Irs gov forms1040x Prepaid interest. Irs gov forms1040x Discounted loan. Irs gov forms1040x Tax deficiency. Irs gov forms1040x Related person. Irs gov forms1040x Below-Market LoansLimit on forgone interest for gift loans of $100,000 or less. Irs gov forms1040x Introduction This chapter discusses the tax treatment of business interest expense. Irs gov forms1040x Business interest expense is an amount charged for the use of money you borrowed for business activities. Irs gov forms1040x Topics - This chapter discusses: Allocation of interest Interest you can deduct Interest you cannot deduct Capitalization of interest When to deduct interest Below-market loans Useful Items - You may want to see: Publication 537 Installment Sales 550 Investment Income and Expenses 936 Home Mortgage Interest Deduction Form (and Instructions) Sch A (Form 1040) Itemized Deductions Sch E (Form 1040) Supplemental Income and Loss Sch K-1 (Form 1065) Partner's Share of Income, Deductions, Credits, etc. Irs gov forms1040x Sch K-1 (Form 1120S) Shareholder's Share of Income, Deductions, Credits, etc. Irs gov forms1040x 1098 Mortgage Interest Statement 3115 Application for Change in Accounting Method 4952 Investment Interest Expense Deduction 8582 Passive Activity Loss Limitations See chapter 12 for information about getting publications and forms. Irs gov forms1040x Allocation of Interest The rules for deducting interest vary, depending on whether the loan proceeds are used for business, personal, or investment activities. Irs gov forms1040x If you use the proceeds of a loan for more than one type of expense, you must allocate the interest based on the use of the loan's proceeds. Irs gov forms1040x Allocate your interest expense to the following categories. Irs gov forms1040x Nonpassive trade or business activity interest Passive trade or business activity interest Investment interest Portfolio interest Personal interest In general, you allocate interest on a loan the same way you allocate the loan proceeds. Irs gov forms1040x You allocate loan proceeds by tracing disbursements to specific uses. Irs gov forms1040x The easiest way to trace disbursements to specific uses is to keep the proceeds of a particular loan separate from any other funds. Irs gov forms1040x Secured loan. Irs gov forms1040x   The allocation of loan proceeds and the related interest is not generally affected by the use of property that secures the loan. Irs gov forms1040x Example. Irs gov forms1040x You secure a loan with property used in your business. Irs gov forms1040x You use the loan proceeds to buy an automobile for personal use. Irs gov forms1040x You must allocate interest expense on the loan to personal use (purchase of the automobile) even though the loan is secured by business property. Irs gov forms1040x    If the property that secures the loan is your home, you generally do not allocate the loan proceeds or the related interest. Irs gov forms1040x The interest is usually deductible as qualified home mortgage interest, regardless of how the loan proceeds are used. Irs gov forms1040x For more information, see Publication 936. Irs gov forms1040x Allocation period. Irs gov forms1040x   The period for which a loan is allocated to a particular use begins on the date the proceeds are used and ends on the earlier of the following dates. Irs gov forms1040x The date the loan is repaid. Irs gov forms1040x The date the loan is reallocated to another use. Irs gov forms1040x Proceeds not disbursed to borrower. Irs gov forms1040x   Even if the lender disburses the loan proceeds to a third party, the allocation of the loan is still based on your use of the funds. Irs gov forms1040x This applies whether you pay for property, services, or anything else by incurring a loan, or you take property subject to a debt. Irs gov forms1040x Proceeds deposited in borrower's account. Irs gov forms1040x   Treat loan proceeds deposited in an account as property held for investment. Irs gov forms1040x It does not matter whether the account pays interest. Irs gov forms1040x Any interest you pay on the loan is investment interest expense. Irs gov forms1040x If you withdraw the proceeds of the loan, you must reallocate the loan based on the use of the funds. Irs gov forms1040x Example. Irs gov forms1040x Celina, a calendar-year taxpayer, borrows $100,000 on January 4 and immediately uses the proceeds to open a checking account. Irs gov forms1040x No other amounts are deposited in the account during the year and no part of the loan principal is repaid during the year. Irs gov forms1040x On April 2, Celina uses $20,000 from the checking account for a passive activity expenditure. Irs gov forms1040x On September 4, Celina uses an additional $40,000 from the account for personal purposes. Irs gov forms1040x Under the interest allocation rules, the entire $100,000 loan is treated as property held for investment for the period from January 4 through April 1. Irs gov forms1040x From April 2 through September 3, Celina must treat $20,000 of the loan as used in the passive activity and $80,000 of the loan as property held for investment. Irs gov forms1040x From September 4 through December 31, she must treat $40,000 of the loan as used for personal purposes, $20,000 as used in the passive activity, and $40,000 as property held for investment. Irs gov forms1040x Order of funds spent. Irs gov forms1040x   Generally, you treat loan proceeds deposited in an account as used (spent) before either of the following amounts. Irs gov forms1040x Any unborrowed amounts held in the same account. Irs gov forms1040x Any amounts deposited after these loan proceeds. Irs gov forms1040x Example. Irs gov forms1040x On January 9, Olena opened a checking account, depositing $500 of the proceeds of Loan A and $1,000 of unborrowed funds. Irs gov forms1040x The following table shows the transactions in her account during the tax year. Irs gov forms1040x Date Transaction January 9 $500 proceeds of Loan A and $1,000 unborrowed funds deposited January 14 $500 proceeds of Loan B  deposited February 19 $800 used for personal purposes February 27 $700 used for passive activity June 19 $1,000 proceeds of Loan C  deposited November 20 $800 used for an investment December 18 $600 used for personal purposes Olena treats the $800 used for personal purposes as made from the $500 proceeds of Loan A and $300 of the proceeds of Loan B. Irs gov forms1040x She treats the $700 used for a passive activity as made from the remaining $200 proceeds of Loan B and $500 of unborrowed funds. Irs gov forms1040x She treats the $800 used for an investment as made entirely from the proceeds of Loan C. Irs gov forms1040x She treats the $600 used for personal purposes as made from the remaining $200 proceeds of Loan C and $400 of unborrowed funds. Irs gov forms1040x For the periods during which loan proceeds are held in the account, Olena treats them as property held for investment. Irs gov forms1040x Payments from checking accounts. Irs gov forms1040x   Generally, you treat a payment from a checking or similar account as made at the time the check is written if you mail or deliver it to the payee within a reasonable period after you write it. Irs gov forms1040x You can treat checks written on the same day as written in any order. Irs gov forms1040x Amounts paid within 30 days. Irs gov forms1040x   If you receive loan proceeds in cash or if the loan proceeds are deposited in an account, you can treat any payment (up to the amount of the proceeds) made from any account you own, or from cash, as made from those proceeds. Irs gov forms1040x This applies to any payment made within 30 days before or after the proceeds are received in cash or deposited in your account. Irs gov forms1040x   If the loan proceeds are deposited in an account, you can apply this rule even if the rules stated earlier under Order of funds spent would otherwise require you to treat the proceeds as used for other purposes. Irs gov forms1040x If you apply this rule to any payments, disregard those payments (and the proceeds from which they are made) when applying the rules stated under Order of funds spent. Irs gov forms1040x   If you received the loan proceeds in cash, you can treat the payment as made on the date you received the cash instead of the date you actually made the payment. Irs gov forms1040x Example. Irs gov forms1040x Giovanni gets a loan of $1,000 on August 4 and receives the proceeds in cash. Irs gov forms1040x Giovanni deposits $1,500 in an account on August 18 and on August 28 writes a check on the account for a passive activity expense. Irs gov forms1040x Also, Giovanni deposits his paycheck, deposits other loan proceeds, and pays his bills during the same period. Irs gov forms1040x Regardless of these other transactions, Giovanni can treat $1,000 of the deposit he made on August 18 as being paid on August 4 from the loan proceeds. Irs gov forms1040x In addition, Giovanni can treat the passive activity expense he paid on August 28 as made from the $1,000 loan proceeds treated as deposited in the account. Irs gov forms1040x Optional method for determining date of reallocation. Irs gov forms1040x   You can use the following method to determine the date loan proceeds are reallocated to another use. Irs gov forms1040x You can treat all payments from loan proceeds in the account during any month as taking place on the later of the following dates. Irs gov forms1040x The first day of that month. Irs gov forms1040x The date the loan proceeds are deposited in the account. Irs gov forms1040x However, you can use this optional method only if you treat all payments from the account during the same calendar month in the same way. Irs gov forms1040x Interest on a segregated account. Irs gov forms1040x   If you have an account that contains only loan proceeds and interest earned on the account, you can treat any payment from that account as being made first from the interest. Irs gov forms1040x When the interest earned is used up, any remaining payments are from loan proceeds. Irs gov forms1040x Example. Irs gov forms1040x You borrowed $20,000 and used the proceeds of this loan to open a new savings account. Irs gov forms1040x When the account had earned interest of $867, you withdrew $20,000 for personal purposes. Irs gov forms1040x You can treat the withdrawal as coming first from the interest earned on the account, $867, and then from the loan proceeds, $19,133 ($20,000 − $867). Irs gov forms1040x All the interest charged on the loan from the time it was deposited in the account until the time of the withdrawal is investment interest expense. Irs gov forms1040x The interest charged on the part of the proceeds used for personal purposes ($19,133) from the time you withdrew it until you either repay it or reallocate it to another use is personal interest expense. Irs gov forms1040x The interest charged on the loan proceeds you left in the account ($867) continues to be investment interest expense until you either repay it or reallocate it to another use. Irs gov forms1040x Loan repayment. Irs gov forms1040x   When you repay any part of a loan allocated to more than one use, treat it as being repaid in the following order. Irs gov forms1040x Personal use. Irs gov forms1040x Investments and passive activities (other than those included in (3)). Irs gov forms1040x Passive activities in connection with a rental real estate activity in which you actively participate. Irs gov forms1040x Former passive activities. Irs gov forms1040x Trade or business use and expenses for certain low-income housing projects. Irs gov forms1040x Line of credit (continuous borrowings). Irs gov forms1040x   The following rules apply if you have a line of credit or similar arrangement. Irs gov forms1040x Treat all borrowed funds on which interest accrues at the same fixed or variable rate as a single loan. Irs gov forms1040x Treat borrowed funds or parts of borrowed funds on which interest accrues at different fixed or variable rates as different loans. Irs gov forms1040x Treat these loans as repaid in the order shown on the loan agreement. Irs gov forms1040x Loan refinancing. Irs gov forms1040x   Allocate the replacement loan to the same uses to which the repaid loan was allocated. Irs gov forms1040x Make the allocation only to the extent you use the proceeds of the new loan to repay any part of the original loan. Irs gov forms1040x Debt-financed distribution. Irs gov forms1040x   A debt-financed distribution occurs when a partnership or S corporation borrows funds and allocates those funds to distributions made to partners or shareholders. Irs gov forms1040x The manner in which you report the interest expense associated with the distributed debt proceeds depends on your use of those proceeds. Irs gov forms1040x How to report. Irs gov forms1040x   If the proceeds were used in a nonpassive trade or business activity, report the interest on Schedule E (Form 1040), line 28; enter “interest expense” and the name of the partnership or S corporation in column (a) and the amount in column (h). Irs gov forms1040x If the proceeds were used in a passive activity, follow the Instructions for Form 8582, Passive Activity Loss Limitations, to determine the amount of interest expense that can be reported on Schedule E (Form 1040), line 28; enter “interest expense” and the name of the partnership in column (a) and the amount in column (f). Irs gov forms1040x If the proceeds were used in an investment activity, enter the interest on Form 4952. Irs gov forms1040x If the proceeds are used for personal purposes, the interest is generally not deductible. Irs gov forms1040x Interest You Can Deduct You can generally deduct as a business expense all interest you pay or accrue during the tax year on debts related to your trade or business. Irs gov forms1040x Interest relates to your trade or business if you use the proceeds of the loan for a trade or business expense. Irs gov forms1040x It does not matter what type of property secures the loan. Irs gov forms1040x You can deduct interest on a debt only if you meet all the following requirements. Irs gov forms1040x You are legally liable for that debt. Irs gov forms1040x Both you and the lender intend that the debt be repaid. Irs gov forms1040x You and the lender have a true debtor-creditor relationship. Irs gov forms1040x Partial liability. Irs gov forms1040x   If you are liable for part of a business debt, you can deduct only your share of the total interest paid or accrued. Irs gov forms1040x Example. Irs gov forms1040x You and your brother borrow money. Irs gov forms1040x You are liable for 50% of the note. Irs gov forms1040x You use your half of the loan in your business, and you make one-half of the loan payments. Irs gov forms1040x You can deduct your half of the total interest payments as a business deduction. Irs gov forms1040x Mortgage. Irs gov forms1040x   Generally, mortgage interest paid or accrued on real estate you own legally or equitably is deductible. Irs gov forms1040x However, rather than deducting the interest currently, you may have to add it to the cost basis of the property as explained later under Capitalization of Interest. Irs gov forms1040x Statement. Irs gov forms1040x   If you paid $600 or more of mortgage interest (including certain points) during the year on any one mortgage, you generally will receive a Form 1098 or a similar statement. Irs gov forms1040x You will receive the statement if you pay interest to a person (including a financial institution or a cooperative housing corporation) in the course of that person's trade or business. Irs gov forms1040x A governmental unit is a person for purposes of furnishing the statement. Irs gov forms1040x   If you receive a refund of interest you overpaid in an earlier year, this amount will be reported in box 3 of Form 1098. Irs gov forms1040x You cannot deduct this amount. Irs gov forms1040x For information on how to report this refund, see Refunds of interest, later in this chapter. Irs gov forms1040x Expenses paid to obtain a mortgage. Irs gov forms1040x   Certain expenses you pay to obtain a mortgage cannot be deducted as interest. Irs gov forms1040x These expenses, which include mortgage commissions, abstract fees, and recording fees, are capital expenses. Irs gov forms1040x If the property mortgaged is business or income-producing property, you can amortize the costs over the life of the mortgage. Irs gov forms1040x Prepayment penalty. Irs gov forms1040x   If you pay off your mortgage early and pay the lender a penalty for doing this, you can deduct the penalty as interest. Irs gov forms1040x Interest on employment tax deficiency. Irs gov forms1040x   Interest charged on employment taxes assessed on your business is deductible. Irs gov forms1040x Original issue discount (OID). Irs gov forms1040x   OID is a form of interest. Irs gov forms1040x A loan (mortgage or other debt) generally has OID when its proceeds are less than its principal amount. Irs gov forms1040x The OID is the difference between the stated redemption price at maturity and the issue price of the loan. Irs gov forms1040x   A loan's stated redemption price at maturity is the sum of all amounts (principal and interest) payable on it other than qualified stated interest. Irs gov forms1040x Qualified stated interest is stated interest that is unconditionally payable in cash or property (other than another loan of the issuer) at least annually over the term of the loan at a single fixed rate. Irs gov forms1040x You generally deduct OID over the term of the loan. Irs gov forms1040x Figure the amount to deduct each year using the constant-yield method, unless the OID on the loan is de minimis. Irs gov forms1040x De minimis OID. Irs gov forms1040x   The OID is de minimis if it is less than one-fourth of 1% (. Irs gov forms1040x 0025) of the stated redemption price of the loan at maturity multiplied by the number of full years from the date of original issue to maturity (the term of the loan). Irs gov forms1040x   If the OID is de minimis, you can choose one of the following ways to figure the amount you can deduct each year. Irs gov forms1040x On a constant-yield basis over the term of the loan. Irs gov forms1040x On a straight-line basis over the term of the loan. Irs gov forms1040x In proportion to stated interest payments. Irs gov forms1040x In its entirety at maturity of the loan. Irs gov forms1040x You make this choice by deducting the OID in a manner consistent with the method chosen on your timely filed tax return for the tax year in which the loan is issued. Irs gov forms1040x Example. Irs gov forms1040x On January 1, 2013, you took out a $100,000 discounted loan and received $98,500 in proceeds. Irs gov forms1040x The loan will mature on January 1, 2023 (a 10-year term), and the $100,000 principal is payable on that date. Irs gov forms1040x Interest of $10,000 is payable on January 1 of each year, beginning January 1, 2014. Irs gov forms1040x The $1,500 OID on the loan is de minimis because it is less than $2,500 ($100,000 × . Irs gov forms1040x 0025 × 10). Irs gov forms1040x You choose to deduct the OID on a straight-line basis over the term of the loan. Irs gov forms1040x Beginning in 2013, you can deduct $150 each year for 10 years. Irs gov forms1040x Constant-yield method. Irs gov forms1040x   If the OID is not de minimis, you must use the constant-yield method to figure how much you can deduct each year. Irs gov forms1040x You figure your deduction for the first year using the following steps. Irs gov forms1040x Determine the issue price of the loan. Irs gov forms1040x Generally, this equals the proceeds of the loan. Irs gov forms1040x If you paid points on the loan (as discussed later), the issue price generally is the difference between the proceeds and the points. Irs gov forms1040x Multiply the result in (1) by the yield to maturity. Irs gov forms1040x Subtract any qualified stated interest payments from the result in (2). Irs gov forms1040x This is the OID you can deduct in the first year. Irs gov forms1040x   To figure your deduction in any subsequent year, follow the above steps, except determine the adjusted issue price in step (1). Irs gov forms1040x To get the adjusted issue price, add to the issue price any OID previously deducted. Irs gov forms1040x Then follow steps (2) and (3) above. Irs gov forms1040x   The yield to maturity is generally shown in the literature you receive from your lender. Irs gov forms1040x If you do not have this information, consult your lender or tax advisor. Irs gov forms1040x In general, the yield to maturity is the discount rate that, when used in computing the present value of all principal and interest payments, produces an amount equal to the principal amount of the loan. Irs gov forms1040x Example. Irs gov forms1040x The facts are the same as in the previous example, except that you deduct the OID on a constant yield basis over the term of the loan. Irs gov forms1040x The yield to maturity on your loan is 10. Irs gov forms1040x 2467%, compounded annually. Irs gov forms1040x For 2013, you can deduct $93 [($98,500 × . Irs gov forms1040x 102467) − $10,000]. Irs gov forms1040x For 2014, you can deduct $103 [($98,593 × . Irs gov forms1040x 102467) − $10,000]. Irs gov forms1040x Loan or mortgage ends. Irs gov forms1040x   If your loan or mortgage ends, you may be able to deduct any remaining OID in the tax year in which the loan or mortgage ends. Irs gov forms1040x A loan or mortgage may end due to a refinancing, prepayment, foreclosure, or similar event. Irs gov forms1040x If you refinance with the original lender, you generally cannot deduct the remaining OID in the year in which the refinancing occurs, but you may be able to deduct it over the term of the new mortgage or loan. Irs gov forms1040x See Interest paid with funds borrowed from original lender under Interest You Cannot Deduct, later. Irs gov forms1040x Points. Irs gov forms1040x   The term “points” is used to describe certain charges paid, or treated as paid, by a borrower to obtain a loan or a mortgage. Irs gov forms1040x These charges are also called loan origination fees, maximum loan charges, discount points, or premium charges. Irs gov forms1040x If any of these charges (points) are solely for the use of money, they are interest. Irs gov forms1040x   Because points are prepaid interest, you generally cannot deduct the full amount in the year paid. Irs gov forms1040x However, you can choose to fully deduct points in the year paid if you meet certain tests. Irs gov forms1040x For exceptions to the general rule, see Publication 936. Irs gov forms1040x The points reduce the issue price of the loan and result in original issue discount (OID), deductible as explained in the preceding discussion. Irs gov forms1040x Partial payments on a nontax debt. Irs gov forms1040x   If you make partial payments on a debt (other than a debt owed the IRS), the payments are applied, in general, first to interest and any remainder to principal. Irs gov forms1040x You can deduct only the interest. Irs gov forms1040x This rule does not apply when it can be inferred that the borrower and lender understood that a different allocation of the payments would be made. Irs gov forms1040x Installment purchase. Irs gov forms1040x   If you make an installment purchase of business property, the contract between you and the seller generally provides for the payment of interest. Irs gov forms1040x If no interest or a low rate of interest is charged under the contract, a portion of the stated principal amount payable under the contract may be recharacterized as interest (unstated interest). Irs gov forms1040x The amount recharacterized as interest reduces your basis in the property and increases your interest expense. Irs gov forms1040x For more information on installment sales and unstated interest, see Publication 537. Irs gov forms1040x Interest You Cannot Deduct Certain interest payments cannot be deducted. Irs gov forms1040x In addition, certain other expenses that may seem to be interest but are not, cannot be deducted as interest. Irs gov forms1040x You cannot currently deduct interest that must be capitalized, and you generally cannot deduct personal interest. Irs gov forms1040x Interest paid with funds borrowed from original lender. Irs gov forms1040x   If you use the cash method of accounting, you cannot deduct interest you pay with funds borrowed from the original lender through a second loan, an advance, or any other arrangement similar to a loan. Irs gov forms1040x You can deduct the interest expense once you start making payments on the new loan. Irs gov forms1040x   When you make a payment on the new loan, you first apply the payment to interest and then to the principal. Irs gov forms1040x All amounts you apply to the interest on the first loan are deductible, along with any interest you pay on the second loan, subject to any limits that apply. Irs gov forms1040x Capitalized interest. Irs gov forms1040x   You cannot currently deduct interest you are required to capitalize under the uniform capitalization rules. Irs gov forms1040x See Capitalization of Interest, later. Irs gov forms1040x In addition, if you buy property and pay interest owed by the seller (for example, by assuming the debt and any interest accrued on the property), you cannot deduct the interest. Irs gov forms1040x Add this interest to the basis of the property. Irs gov forms1040x Commitment fees or standby charges. Irs gov forms1040x   Fees you incur to have business funds available on a standby basis, but not for the actual use of the funds, are not deductible as interest payments. Irs gov forms1040x You may be able to deduct them as business expenses. Irs gov forms1040x   If the funds are for inventory or certain property used in your business, the fees are indirect costs and you generally must capitalize them under the uniform capitalization rules. Irs gov forms1040x See Capitalization of Interest, later. Irs gov forms1040x Interest on income tax. Irs gov forms1040x   Interest charged on income tax assessed on your individual income tax return is not a business deduction even though the tax due is related to income from your trade or business. Irs gov forms1040x Treat this interest as a business deduction only in figuring a net operating loss deduction. Irs gov forms1040x Penalties. Irs gov forms1040x   Penalties on underpaid deficiencies and underpaid estimated tax are not interest. Irs gov forms1040x You cannot deduct them. Irs gov forms1040x Generally, you cannot deduct any fines or penalties. Irs gov forms1040x Interest on loans with respect to life insurance policies. Irs gov forms1040x   You generally cannot deduct interest on a debt incurred with respect to any life insurance, annuity, or endowment contract that covers any individual unless that individual is a key person. Irs gov forms1040x   If the policy or contract covers a key person, you can deduct the interest on up to $50,000 of debt for that person. Irs gov forms1040x However, the deduction for any month cannot be more than the interest figured using Moody's Composite Yield on Seasoned Corporate Bonds (formerly known as Moody's Corporate Bond Yield Average-Monthly Average Corporates) (Moody's rate) for that month. Irs gov forms1040x Who is a key person?   A key person is an officer or 20% owner. Irs gov forms1040x However, the number of individuals you can treat as key persons is limited to the greater of the following. Irs gov forms1040x Five individuals. Irs gov forms1040x The lesser of 5% of the total officers and employees of the company or 20 individuals. Irs gov forms1040x Exceptions for pre-June 1997 contracts. Irs gov forms1040x   You can generally deduct the interest if the contract was issued before June 9, 1997, and the covered individual is someone other than an employee, officer, or someone financially interested in your business. Irs gov forms1040x If the contract was purchased before June 21, 1986, you can generally deduct the interest no matter who is covered by the contract. Irs gov forms1040x Interest allocated to unborrowed policy cash value. Irs gov forms1040x   Corporations and partnerships generally cannot deduct any interest expense allocable to unborrowed cash values of life insurance, annuity, or endowment contracts. Irs gov forms1040x This rule applies to contracts issued after June 8, 1997, that cover someone other than an officer, director, employee, or 20% owner. Irs gov forms1040x For more information, see section 264(f) of the Internal Revenue Code. Irs gov forms1040x Capitalization of Interest Under the uniform capitalization rules, you generally must capitalize interest on debt equal to your expenditures to produce real property or certain tangible personal property. Irs gov forms1040x The property must be produced by you for use in your trade or business or for sale to customers. Irs gov forms1040x You cannot capitalize interest related to property that you acquire in any other manner. Irs gov forms1040x Interest you paid or incurred during the production period must be capitalized if the property produced is designated property. Irs gov forms1040x Designated property is any of the following. Irs gov forms1040x Real property. Irs gov forms1040x Tangible personal property with a class life of 20 years or more. Irs gov forms1040x Tangible personal property with an estimated production period of more than 2 years. Irs gov forms1040x Tangible personal property with an estimated production period of more than 1 year if the estimated cost of production is more than $1 million. Irs gov forms1040x Property you produce. Irs gov forms1040x   You produce property if you construct, build, install, manufacture, develop, improve, create, raise, or grow it. Irs gov forms1040x Treat property produced for you under a contract as produced by you up to the amount you pay or incur for the property. Irs gov forms1040x Carrying charges. Irs gov forms1040x   Carrying charges include taxes you pay to carry or develop real estate or to carry, transport, or install personal property. Irs gov forms1040x You can choose to capitalize carrying charges not subject to the uniform capitalization rules if they are otherwise deductible. Irs gov forms1040x For more information, see chapter 7. Irs gov forms1040x Capitalized interest. Irs gov forms1040x   Treat capitalized interest as a cost of the property produced. Irs gov forms1040x You recover your interest when you sell or use the property. Irs gov forms1040x If the property is inventory, recover capitalized interest through cost of goods sold. Irs gov forms1040x If the property is used in your trade or business, recover capitalized interest through an adjustment to basis, depreciation, amortization, or other method. Irs gov forms1040x Partnerships and S corporations. Irs gov forms1040x   The interest capitalization rules are applied first at the partnership or S corporation level. Irs gov forms1040x The rules are then applied at the partners' or shareholders' level to the extent the partnership or S corporation has insufficient debt to support the production or construction costs. Irs gov forms1040x   If you are a partner or a shareholder, you may have to capitalize interest you incur during the tax year for the production costs of the partnership or S corporation. Irs gov forms1040x You may also have to capitalize interest incurred by the partnership or S corporation for your own production costs. Irs gov forms1040x To properly capitalize interest under these rules, you must be given the required information in an attachment to the Schedule K-1 you receive from the partnership or S corporation. Irs gov forms1040x Additional information. Irs gov forms1040x   The procedures for applying the uniform capitalization rules are beyond the scope of this publication. Irs gov forms1040x For more information, see sections 1. Irs gov forms1040x 263A-8 through 1. Irs gov forms1040x 263A-15 of the regulations and Notice 88-99. Irs gov forms1040x Notice 88-99 is in Cumulative Bulletin 1988-2. Irs gov forms1040x When To Deduct Interest If the uniform capitalization rules, discussed under Capitalization of Interest, earlier, do not apply to you, deduct interest as follows. Irs gov forms1040x Cash method. Irs gov forms1040x   Under the cash method, you can generally deduct only the interest you actually paid during the tax year. Irs gov forms1040x You cannot deduct a promissory note you gave as payment because it is a promise to pay and not an actual payment. Irs gov forms1040x Prepaid interest. Irs gov forms1040x   You generally cannot deduct any interest paid before the year it is due. Irs gov forms1040x Interest paid in advance can be deducted only in the tax year in which it is due. Irs gov forms1040x Discounted loan. Irs gov forms1040x   If interest or a discount is subtracted from your loan proceeds, it is not a payment of interest and you cannot deduct it when you get the loan. Irs gov forms1040x For more information, see Original issue discount (OID) under Interest You Can Deduct, earlier. Irs gov forms1040x Refunds of interest. Irs gov forms1040x   If you pay interest and then receive a refund in the same tax year of any part of the interest, reduce your interest deduction by the refund. Irs gov forms1040x If you receive the refund in a later tax year, include the refund in your income to the extent the deduction for the interest reduced your tax. Irs gov forms1040x Accrual method. Irs gov forms1040x   Under an accrual method, you can deduct only interest that has accrued during the tax year. Irs gov forms1040x Prepaid interest. Irs gov forms1040x   See Prepaid interest, earlier. Irs gov forms1040x Discounted loan. Irs gov forms1040x   See Discounted loan, earlier. Irs gov forms1040x Tax deficiency. Irs gov forms1040x   If you contest a federal income tax deficiency, interest does not accrue until the tax year the final determination of liability is made. Irs gov forms1040x If you do not contest the deficiency, then the interest accrues in the year the tax was asserted and agreed to by you. Irs gov forms1040x   However, if you contest but pay the proposed tax deficiency and interest, and you do not designate the payment as a cash bond, then the interest is deductible in the year paid. Irs gov forms1040x Related person. Irs gov forms1040x   If you use an accrual method, you cannot deduct interest owed to a related person who uses the cash method until payment is made and the interest is includible in the gross income of that person. Irs gov forms1040x The relationship is determined as of the end of the tax year for which the interest would otherwise be deductible. Irs gov forms1040x See section 267 of the Internal Revenue Code for more information. Irs gov forms1040x Below-Market Loans If you receive a below-market gift or demand loan and use the proceeds in your trade or business, you may be able to deduct the forgone interest. Irs gov forms1040x See Treatment of gift and demand loans, later, in this discussion. Irs gov forms1040x A below-market loan is a loan on which no interest is charged or on which interest is charged at a rate below the applicable federal rate. Irs gov forms1040x A gift or demand loan that is a below-market loan generally is considered an arm's-length transaction in which you, the borrower, are considered as having received both the following. Irs gov forms1040x A loan in exchange for a note that requires the payment of interest at the applicable federal rate. Irs gov forms1040x An additional payment in an amount equal to the forgone interest. Irs gov forms1040x The additional payment is treated as a gift, dividend, contribution to capital, payment of compensation, or other payment, depending on the substance of the transaction. Irs gov forms1040x Forgone interest. Irs gov forms1040x   For any period, forgone interest is The interest that would be payable for that period if interest accrued on the loan at the applicable federal rate and was payable annually on December 31, minus Any interest actually payable on the loan for the period. Irs gov forms1040x Applicable federal rates are published by the IRS each month in the Internal Revenue Bulletin. Irs gov forms1040x Internal Revenue Bulletins are available on the IRS web site at www. Irs gov forms1040x irs. Irs gov forms1040x gov/irb. Irs gov forms1040x You can also contact an IRS office to get these rates. Irs gov forms1040x Loans subject to the rules. Irs gov forms1040x   The rules for below-market loans apply to the following. Irs gov forms1040x Gift loans (below-market loans where the forgone interest is in the nature of a gift). Irs gov forms1040x Compensation-related loans (below-market loans between an employer and an employee or between an independent contractor and a person for whom the contractor provides services). Irs gov forms1040x Corporation-shareholder loans. Irs gov forms1040x Tax avoidance loans (below-market loans where the avoidance of federal tax is one of the main purposes of the interest arrangement). Irs gov forms1040x Loans to qualified continuing care facilities under a continuing care contract (made after October 11, 1985). Irs gov forms1040x   Except as noted in (5) above, these rules apply to demand loans (loans payable in full at any time upon the lender's demand) outstanding after June 6, 1984, and to term loans (loans that are not demand loans) made after that date. Irs gov forms1040x Treatment of gift and demand loans. Irs gov forms1040x   If you receive a below-market gift loan or demand loan, you are treated as receiving an additional payment (as a gift, dividend, etc. Irs gov forms1040x ) equal to the forgone interest on the loan. Irs gov forms1040x You are then treated as transferring this amount back to the lender as interest. Irs gov forms1040x These transfers are considered to occur annually, generally on December 31. Irs gov forms1040x If you use the loan proceeds in your trade or business, you can deduct the forgone interest each year as a business interest expense. Irs gov forms1040x The lender must report it as interest income. Irs gov forms1040x Limit on forgone interest for gift loans of $100,000 or less. Irs gov forms1040x   For gift loans between individuals, forgone interest treated as transferred back to the lender is limited to the borrower's net investment income for the year. Irs gov forms1040x This limit applies if the outstanding loans between the lender and borrower total $100,000 or less. Irs gov forms1040x If the borrower's net investment income is $1,000 or less, it is treated as zero. Irs gov forms1040x This limit does not apply to a loan if the avoidance of any federal tax is one of the main purposes of the interest arrangement. Irs gov forms1040x Treatment of term loans. Irs gov forms1040x   If you receive a below-market term loan other than a gift or demand loan, you are treated as receiving an additional cash payment (as a dividend, etc. Irs gov forms1040x ) on the date the loan is made. Irs gov forms1040x This payment is equal to the loan amount minus the present value, at the applicable federal rate, of all payments due under the loan. Irs gov forms1040x The same amount is treated as original issue discount on the loan. Irs gov forms1040x See Original issue discount (OID) under Interest You Can Deduct, earlier. Irs gov forms1040x Exceptions for loans of $10,000 or less. Irs gov forms1040x   The rules for below-market loans do not apply to any day on which the total outstanding loans between the borrower and lender is $10,000 or less. Irs gov forms1040x This exception applies only to the following. Irs gov forms1040x Gift loans between individuals if the loan is not directly used to buy or carry income-producing assets. Irs gov forms1040x Compensation-related loans or corporation-shareholder loans if the avoidance of any federal tax is not a principal purpose of the interest arrangement. Irs gov forms1040x This exception does not apply to a term loan described in (2) above that was previously subject to the below-market loan rules. Irs gov forms1040x Those rules will continue to apply even if the outstanding balance is reduced to $10,000 or less. Irs gov forms1040x Exceptions for loans without significant tax effect. Irs gov forms1040x   The following loans are specifically exempted from the rules for below-market loans because their interest arrangements do not have a significant effect on the federal tax liability of the borrower or the lender. Irs gov forms1040x Loans made available by lenders to the general public on the same terms and conditions that are consistent with the lender's customary business practices. Irs gov forms1040x Loans subsidized by a federal, state, or municipal government that are made available under a program of general application to the public. Irs gov forms1040x Certain employee-relocation loans. Irs gov forms1040x Certain loans to or from a foreign person, unless the interest income would be effectively connected with the conduct of a U. Irs gov forms1040x S. Irs gov forms1040x trade or business and not exempt from U. Irs gov forms1040x S. Irs gov forms1040x tax under an income tax treaty. Irs gov forms1040x Any other loan if the taxpayer can show that the interest arrangement has no significant effect on the federal tax liability of the lender or the borrower. Irs gov forms1040x Whether an interest arrangement has a significant effect on the federal tax liability of the lender or the borrower will be determined by all the facts and circumstances. Irs gov forms1040x Consider all the following factors. Irs gov forms1040x Whether items of income and deduction generated by the loan offset each other. Irs gov forms1040x The amount of the items. Irs gov forms1040x The cost of complying with the below-market loan provisions if they were to apply. Irs gov forms1040x Any reasons, other than taxes, for structuring the transaction as a below-market loan. Irs gov forms1040x Exception for loans to qualified continuing care facilities. Irs gov forms1040x   The below-market interest rules do not apply to a loan owed by a qualified continuing care facility under a continuing care contract if the lender or lender's spouse is age 62 or older by the end of the calendar year. Irs gov forms1040x A qualified continuing care facility is one or more facilities (excluding nursing homes) meeting the requirements listed below. Irs gov forms1040x Designed to provide services under continuing care contracts (defined below). Irs gov forms1040x Includes an independent living unit, and either an assisted living or nursing facility, or both. Irs gov forms1040x Substantially all of the independent living unit residents are covered by continuing care contracts. Irs gov forms1040x A continuing care contract is a written contract between an individual and a qualified continuing care facility that includes all of the following conditions. Irs gov forms1040x The individual or individual's spouse must be entitled to use the facility for the rest of their life or lives. Irs gov forms1040x The individual or individual's spouse will be provided with housing, as appropriate for the health of the individual or individual's spouse in an: independent living unit (which has additional available facilities outside the unit for the provision of meals and other personal care), and assisted living or nursing facility available in the continuing care facility. Irs gov forms1040x The individual or individual's spouse will be provided with assisted living or nursing care available in the continuing care facility, as required for the health of the individual or the individual's spouse. Irs gov forms1040x For more information, see section 7872(h) of the Internal Revenue Code. Irs gov forms1040x Sale or exchange of property. Irs gov forms1040x   Different rules generally apply to a loan connected with the sale or exchange of property. Irs gov forms1040x If the loan does not provide adequate stated interest, part of the principal payment may be considered interest. Irs gov forms1040x However, there are exceptions that may require you to apply the below-market interest rate rules to these loans. Irs gov forms1040x See Unstated Interest and Original Issue Discount (OID) in Publication 537. Irs gov forms1040x More information. Irs gov forms1040x   For more information on below-market loans, see section 7872 of the Internal Revenue Code and section 1. Irs gov forms1040x 7872-5 of the regulations. Irs gov forms1040x Prev  Up  Next   Home   More Online Publications

Internal Revenue Bulletin:  2014-9 

February 24, 2014 

Notice 2014–10

Section 5000A Transition Relief for Individuals with Certain Government-Sponsored Limited-Benefit Health Coverage


This notice provides relief from the individual shared responsibility payment required under § 5000A of the Internal Revenue Code for months in 2014 in which individuals have, under Medicaid and chapter 55 of Title 10, U.S.C., limited-benefit health coverage that is not minimum essential coverage.

BACKGROUND

For each month beginning after December 31, 2013, § 5000A requires individuals to either maintain minimum essential coverage for themselves and any nonexempt family members, qualify for an exemption, or include an individual shared responsibility payment with their Federal income tax return. A taxpayer is liable under § 5000A for any nonexempt individual whom the taxpayer may claim as a dependent.

Under § 5000A(f)(1)(A), minimum essential coverage includes coverage under certain specified government-sponsored programs (“government-sponsored minimum essential coverage”). On August 30, 2013, the Treasury Department and the Internal Revenue Service (IRS) published final regulations under § 5000A. The final regulations provide that government-sponsored minimum essential coverage includes coverage under the Medicaid program under Title XIX of the Social Security Act (42 U.S.C. 1396 and following sections), other than the following limited coverage under Medicaid:

optional coverage of family planning services under section 1902(a)(10)(A)(ii)(XXI) of the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(ii)(XXI)) (“family planning services Medicaid”), optional coverage of tuberculosis-related services under section 1902(a)(10)(A)(ii)(XII) of the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(ii)(XII) (“tuberculosis-related services Medicaid”), coverage of pregnancy-related services under section 1902(a)(10)(A)(i)(IV) and (a)(10)(A)(ii)(IX) of the Social Security Act (42 U.S.C. 1396a(a)(10)(A)(i)(IV), (a)(10)(A)(ii)(IX)) (“pregnancy-related Medicaid”), and coverage limited to treatment of emergency medical conditions in accordance with 8 U.S.C. 1611(b)(1)(A), as authorized by section 1903(v) of the Social Security Act (42 U.S.C. 1396b(v)) (“emergency medical conditions Medicaid”). The final § 5000A regulations also provide that government-sponsored minimum essential coverage includes medical coverage under chapter 55 of Title 10, U.S.C., including coverage under the TRICARE program.

The final § 5000A regulations reserve on whether certain government-sponsored programs that provide limited benefits are minimum essential coverage, including (i) coverage authorized under section 1115 of the Social Security Act (“Section 1115 demonstration projects”); (ii) coverage for medically needy individuals, see section 1902(a)(10)(C) of the Social Security Act (42 U.S.C. 1396a(a)(10)(C)) and 42 CFR 435.300 and following sections; (iii) coverage under section 1079(a), 1086(c)(1), or 1086(d)(1) of Title 10, U.S.C., for certain individuals who are excluded from TRICARE coverage for health care services from private sector providers and only eligible for space available care in a facility for the uniformed services (“space available care”); and (iv) coverage under sections 1074a and 1074b of Title 10, U.S.C., for individuals not on active duty who are entitled to episodic care for an injury, illness, or disease incurred or aggravated in the line of duty (“line-of-duty care”). See § 1.5000A–2(b)(2) (78 FR 53646, 53658).

The preamble to the final § 5000A regulations indicates that future guidance will provide that the government-sponsored limited-benefit coverage reserved on in the final § 5000A regulations is not minimum essential coverage. However, the preamble to the final § 5000A regulations also indicates that, if future rulemaking clarifies that such limited-benefit coverage is not minimum essential coverage, individuals with that coverage for a month in 2014 will not be subject to the § 5000A individual shared responsibility payment for that month. See T.D. 9632 (78 FR 53646, 53648–53650).

Proposed regulations (REG–141036–13) published concurrently with this notice provide that coverage under certain Section 1115 demonstration projects authorized under section 1115(a)(2) of the Social Security Act (42 U.S.C. 1315(a)(2)), coverage for medically needy individuals, space available care, and line-of-duty care is not government-sponsored minimum essential coverage.

DISCUSSION

Individuals enrolled in family planning services Medicaid, tuberculosis-related services Medicaid, pregnancy-related Medicaid, emergency medical conditions Medicaid, certain Section 1115 demonstration projects, coverage for medically needy individuals, space available care, or line-of-duty care may not know when enrolling for the 2014 coverage year that such coverage is not minimum essential coverage. Accordingly, to provide relief to individuals in this situation (or to taxpayers who are liable under § 5000A for other individuals in this situation), and consistent with the preamble to the final regulations, the § 5000A shared responsibility payment is not imposed with respect to an individual for months in 2014 when the individual has coverage under family planning services Medicaid, tuberculosis-related services Medicaid, pregnancy-related Medicaid, emergency medical conditions Medicaid, a Section 1115 demonstration project authorized under section 1115(a)(2) of the Social Security Act (42 U.S.C. 1315(a)(2)), coverage for medically needy individuals, space available care, or line-of-duty care.

The relief provided by this notice applies only for determining a taxpayer’s § 5000A individual shared responsibility payment for not maintaining minimum essential coverage in 2014. Solely for the purpose of determining whether a period without coverage qualifies as a short coverage gap described in § 5000A(e)(4), an individual will be treated as having minimum essential coverage for any month in 2014 when that individual is eligible for the transition relief provided by this notice.

DRAFTING INFORMATION

The principal author of this notice is John B. Lovelace of the Office of Associate Chief Counsel (Income Tax & Accounting). For further information regarding this notice contact Mr. Lovelace at (202) 317-7006 (not a toll-free number).


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Irs gov forms1040x Publication 1542 - Main Content Table of Contents How To Use Per Diem Rate TablesThe Two Substantiation Methods Transition Rules Per Diem Rate Tables How To Get Tax HelpLow Income Taxpayer Clinics (LITCs). Irs gov forms1040x How To Use Per Diem Rate Tables This section contains information about the per diem rate substantiation methods available and the choice of rates you must make for the last 3 months of the year. Irs gov forms1040x The Two Substantiation Methods The tables in this publication reflect the high-low substantiation method and the regular federal per diem rate method. Irs gov forms1040x High-low method. Irs gov forms1040x   Tables 1 and 2 in this publication list the localities that are treated under the high-low substantiation method as high-cost localities for all or part of the year. Irs gov forms1040x Table 1 lists the localities that are eligible for $233 ($65 meals and incidental expenses (M&IE)) per diem, effective October 1, 2010. Irs gov forms1040x For travel on or after October 1, 2010, all other localities within CONUS are eligible for $160 ($52 M&IE) per diem under the high-low method. Irs gov forms1040x    Table 2 lists the localities that are eligible for $242 ($65 M&IE) per diem, effective October 1, 2011. Irs gov forms1040x For travel on or after October 1, 2011, the per diem for all other localities decreases to $163 ($52 M&IE). Irs gov forms1040x Regular federal per diem rate method. Irs gov forms1040x   Tables 3 and 4 give the regular federal per diem rates published by the General Services Administration (GSA). Irs gov forms1040x Both tables include the separate rate for meals and incidental expenses (M&IE) for each locality. Irs gov forms1040x The rates listed in Table 3 are effective October 1, 2010; those in Table 4 are effective October 1, 2011. Irs gov forms1040x The standard rate for all locations within CONUS not specifically listed in Table 3 is $123 ($77 for lodging and $46 for M&IE). Irs gov forms1040x For Table 4, this rate is $123 ($77 for lodging and $46 for M&IE). Irs gov forms1040x Transition Rules The transition period covers the last 3 months of the calendar year, from the time that new rates are effective (generally October 1) through December 31. Irs gov forms1040x During this period, you generally may change to the new rates or finish out the year with the rates you had been using. Irs gov forms1040x High-low method. Irs gov forms1040x   If you use the high-low substantiation method for an employee, when new rates become effective (generally October 1) you can either continue with the rates you used for the first part of the year or change to the new rates. Irs gov forms1040x However, you must continue using the high-low method for that employee for the rest of the calendar year (through December 31). Irs gov forms1040x Also, you must use the same rates for all employees reimbursed under the high-low method during that calendar year. Irs gov forms1040x   For example, Employee A travels extensively during March and April of 2012, and you determine A's travel allowance (reimbursement) using the high-low method (Table 2). Irs gov forms1040x Employee A does not travel again until November 2012. Irs gov forms1040x For A's November trip and any others during the remainder of 2012, you may continue using the same set of rates (Table 2) or change to the new rates that generally will be effective in October. Irs gov forms1040x Assume that two of your other employees, B and C, are also reimbursed under the high-low method—your choice of rates must also apply to them. Irs gov forms1040x   For Employee A's travel on or after January 1, 2013, you must use the rates in effect for 2013, but may either continue with the high-low method or choose the regular federal per diem rate method. Irs gov forms1040x The choice of method stays in effect for the entire 2013 calendar year. Irs gov forms1040x   The new rates and localities for the high-low method are included each year in a revenue procedure that is generally published in mid- to late-September. Irs gov forms1040x You can find the revenue procedure in the weekly Internal Revenue Bulletin (IRB) on the Internet at www. Irs gov forms1040x irs. Irs gov forms1040x gov/irb. Irs gov forms1040x Federal per diem rate method. Irs gov forms1040x   New CONUS per diem rates become effective on October 1 of each year and remain in effect through September 30 of the following year. Irs gov forms1040x Employees being reimbursed under the per diem rate method during the first 9 months of a year (January 1–September 30) must continue under the same method through the end of that calendar year (December 31). Irs gov forms1040x However, for travel by these employees from October 1 through December 31, you can choose to continue using the same per diem rates or use the new rates. Irs gov forms1040x Your choice applies to all employees reimbursed under the per diem rate method during that calendar year. Irs gov forms1040x Just as for the high-low method, you must continue using the same method for an employee for the entire calendar year. Irs gov forms1040x   For example, Employees P and Q attend an industry conference in February 2012, and you reimburse their expenses using the per diem rate method (Table 4). Irs gov forms1040x Employee P attends other conferences in July (reimbursed using Table 4) and December 2012, while Employee Q's only other travel occurs in October 2012. Irs gov forms1040x When determining Q's travel allowance for the October travel, you must decide whether to continue with the old (Table 4) rates or adopt the new ones effective October 1, 2012. Irs gov forms1040x Your choice of rates will also apply to Employee P's December travel. Irs gov forms1040x Both employees must continue being reimbursed under the per diem rate method for travel through December 31, 2012. Irs gov forms1040x You can choose a new method for either or both employees; this choice will become effective on January 1, 2013. Irs gov forms1040x   The new federal CONUS per diem rates are published each year, generally early in September, on the Internet. Irs gov forms1040x Go to www. Irs gov forms1040x gsa. Irs gov forms1040x gov/perdiem. Irs gov forms1040x Per diem rates for localities listed in Table 4 may change at any time during the rest of 2011 or 2012. Irs gov forms1040x To be sure you have the most current rate, check IRS. Irs gov forms1040x gov for an updated Publication 1542, the other Internet website listed earlier under Per diem rates on the Internet, or call the IRS at 1-800-829-1040. Irs gov forms1040x Per Diem Rate Tables Table 1. Irs gov forms1040x Localities Eligible for $233 ($65 M&IE) Per Diem Amount Under the High-Low Substantiation Method (Effective October 1, 2010 – September 30, 2011)1,2 Note: The standard (“low”) rate of $160 ($108 for lodging and $52 for M&IE) applies to all locations within the continental United States (CONUS) not specifically listed below or encompassed by the boundary definition of a listed point. Irs gov forms1040x Per Diem Locality Effective Date of State Key City County and/or Other Defined Location $233 Rate AZ Phoenix, Scottsdale Maricopa 1/1 - 5/31   Sedona City limits of Sedona 3/1 - 4/30 CA Monterey Monterey All year   Napa Napa 4/1 - 9/30 10/1 - 11/30   San Diego San Diego All year   San Francisco San Francisco All year   Santa Barbara Santa Barbara All year   Santa Monica City limits of Santa Monica All year   South Lake Tahoe El Dorado All year   Yosemite National Park Mariposa All year CO Aspen Pitkin 1/1 - 3/31 6/1 - 8/31 12/1 - 12/31   Denver, Aurora Denver, Adams, Arapahoe, Jefferson All year   Silverthorne, Breckenridge Summit 1/1 - 3/31 12/1 - 12/31   Steamboat Springs Routt 1/1 - 3/31 12/1 - 12/31   Telluride San Miguel 1/1 - 3/31 12/1 - 12/31   Vail Eagle 1/1 - 8/31 12/1 - 12/31 DC Washington, DC (also the cities of Alexandria, Fairfax, and Falls Church, and the counties of Arlington and Fairfax, in Virginia; and the counties of Montgomery and Prince George's in Maryland)   All year FL Fort Lauderdale Broward 1/1 - 5/31   Fort Walton Beach, DeFuniak Springs Okaloosa, Walton 6/1 - 7/31   Key West Monroe All year   Miami Miami-Dade 1/1 - 3/31 12/1 - 12/31   Naples Collier 1/1 - 4/30 IL Chicago Cook, Lake All year LA New Orleans Orleans, St. Irs gov forms1040x Bernard, Jefferson, Plaquemines Parishes 1/1 - 6/30 10/1 - 12/31 MA Boston, Cambridge Suffolk, City of Cambridge All year   Falmouth City limits of Falmouth 7/1 - 8/31   Martha's Vineyard Dukes 7/1 - 8/31   Nantucket Nantucket 6/1 - 9/30 MD Counties of Montgomery and Prince George's   All year Table 1. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Effective Date of State Key City County and/or Other Defined Location $233 Rate MD Baltimore Baltimore City 3/1 - 9/30 10/1 - 11/30   Cambridge, St. Irs gov forms1040x Michaels Dorchester, Talbot 6/1 - 8/31   Ocean City Worcester 6/1 - 8/31 ME Bar Harbor Hancock 7/1 - 8/31 NC Kill Devil Dare 6/1 - 8/31 NH Conway Carroll 7/1 - 8/31 NY Floral Park, Garden City, Great Neck Nassau All year   Glens Falls Warren 7/1 - 8/31   Lake Placid Essex 7/1 - 8/31   Manhattan (includes the boroughs of Manhattan, Brooklyn, the Bronx, Queens, and Staten Island) Bronx, Kings, New York, Queens, Richmond All year   Riverhead, Ronkonkoma, Melville Suffolk 6/1 - 8/31   Saratoga Springs, Schenectady Saratoga, Schenectady 7/1 - 8/31   Tarrytown, White Plains, New Rochelle Westchester All year PA Philadelphia Philadelphia All year RI Jamestown, Middletown, Newport Newport 5/1 - 9/30 10/1 - 10/31 UT Park City Summit 1/1 - 3/31 VA Cities of Alexandria, Falls Church, and Fairfax; Counties of Arlington and Fairfax   All year   Virginia Beach City of Virginia Beach 6/1 - 8/31 VT Stowe Lamoille 1/1 - 3/31 6/1 - 12/31 WA Seattle King All year WY Jackson, Pinedale Teton, Sublette 7/1 - 8/31 1 Transition rule. Irs gov forms1040x A payor who uses the high-low substantiation method  in Table 1 for an employee during the first 9 months of calendar year 2011 must continue to use the high-low substantiation method for the remainder  of calendar year 2011 for that employee. Irs gov forms1040x For travel on or after October 1, 2011, and before January 1, 2012, the payor may continue to use the rates and high-cost localities published in Table 1 or the updated rates and high-cost localities published in the revenue procedure that supersedes Revenue Procedure 2010-39, as long as those rates and localities are used consistently during this period for all employees reimbursed under this method. Irs gov forms1040x See Transition Rules under How To Use Per Diem Rate Tables for an example. Irs gov forms1040x    2 Revenue Procedure 2010-39 in Internal Revenue Bulletin 2010-42. Irs gov forms1040x Table 2. Irs gov forms1040x Localities Eligible for $242 ($65 M&IE) Per Diem Amount Under the High-Low Substantiation Method (Effective October 1, 2011)1,2 Note: The standard (“low”) rate of $163 ($111 for lodging and $52 for M&IE) applies to all locations within the continental United States (CONUS) not specifically listed below or encompassed by the boundary definition of a listed point. Irs gov forms1040x Per Diem Locality Effective Date of State Key City County and/or Other Defined Location $242 Rate AZ Sedona City limits of Sedona 3/1 - 4/30 CA Monterey Monterey All year   Napa Napa 4/1 - 9/30 10/1 - 11/30   San Diego San Diego All year   San Francisco San Francisco All year   Santa Barbara Santa Barbara All year   Santa Monica City limits of Santa Monica All year   Yosemite National Park Mariposa 6/1 - 8/31 CO Aspen Pitkin 1/1 - 3/31 6/1 - 8/31 12/1 - 12/31   Denver, Aurora Denver, Adams, Arapahoe, Jefferson All year   Steamboat Springs Routt 1/1 - 3/31 12/1 - 12/31   Telluride San Miguel 1/1 - 3/31 12/1 - 12/31   Vail Eagle 1/1 - 8/31 12/1 - 12/31 DC Washington, DC (also the cities of Alexandria, Fairfax, and Falls Church, and the counties of Arlington and Fairfax, in Virginia; and the counties of Montgomery and Prince George's in Maryland)   All year FL Fort Lauderdale Broward 1/1 - 5/31   Fort Walton Beach, DeFuniak Springs Okaloosa, Walton 6/1 - 7/31   Key West Monroe All year   Miami Miami-Dade 1/1 - 3/31 12/1 - 12/31   Naples Collier 1/1 - 4/30 IL Chicago Cook, Lake 4/1 - 9/30 10/1 - 11/30 LA New Orleans Orleans, St. Irs gov forms1040x Bernard, Jefferson, Plaquemines Parishes 1/1 - 6/30 10/1 - 12/31 MA Boston, Cambridge Suffolk, City of Cambridge All year   Falmouth City limits of Falmouth 7/1 - 8/31   Martha's Vineyard Dukes 7/1 - 8/31   Nantucket Nantucket 6/1 - 9/30 Table 2. Irs gov forms1040x (Effective October 1, 2011) (Continued) Per Diem Locality Effective Date of State Key City County and/or Other Defined Location $242 Rate MD Counties of Montgomery and Prince George's   All year   Baltimore Baltimore City 3/1 - 9/30 10/1 - 11/30   Cambridge, St. Irs gov forms1040x Michaels Dorchester, Talbot 6/1 - 8/31   Ocean City Worcester 6/1 - 8/31 ME Bar Harbor Hancock 7/1 - 8/31 NC Kill Devil Dare 6/1 - 8/31 NH Conway Carroll 7/1 - 8/31 NY Floral Park, Garden City, Great Neck Nassau All year   Glens Falls Warren 7/1 - 8/31   Lake Placid Essex 7/1 - 8/31   Manhattan (includes the boroughs of Manhattan, Brooklyn, the Bronx, Queens, and Staten Island) Bronx, Kings, New York, Queens, Richmond All year   Saratoga Springs, Schenectady Saratoga, Schenectady 7/1 - 8/31   Tarrytown, White Plains, New Rochelle Westchester All year PA Philadelphia Philadelphia All year RI Jamestown, Middletown, Newport Newport 5/1 - 9/30 10/1 - 10/31 UT Park City Summit 1/1 - 3/31 VA Cities of Alexandria, Falls Church, and Fairfax; Counties of Arlington and Fairfax   All year   Virginia Beach City of Virginia Beach 6/1 - 8/31 WA Seattle King All year WY Jackson, Pinedale Teton, Sublette 7/1 - 8/31 1 Transition rule. Irs gov forms1040x A payor who uses the high-low substantiation method  in Table 2 for an employee during the first 9 months of calendar year 2012 must continue to use the high-low substantiation method for the remainder  of calendar year 2012 for that employee. Irs gov forms1040x For travel on or after October 1, 2012, and before January 1, 2013, the payor may continue to use the rates and high-cost localities published in Table 2 or the updated rates and high-cost localities published in the revenue procedure that supersedes Revenue Procedure 2011-47 and Notice 2011-81, as long as those rates and localities are used consistently during this period for all employees reimbursed under this method. Irs gov forms1040x See Transition Rules under How To Use Per Diem Rate Tables for an example. Irs gov forms1040x    2 Revenue Procedure 2011-47 and Notice 2011-81 in Internal Revenue Bulletin 2011-42. Irs gov forms1040x Table 3. Irs gov forms1040x Maximum Federal Per Diem Rates (Effective October 1, 2010 – September 30, 2011)1 Note: The standard rate of $123 ($77 for lodging and $46 for M&IE) applies to all locations within the continental United States (CONUS) not specifically listed below or encompassed by the boundary definition of a listed point. Irs gov forms1040x However, the standard CONUS rate applies to all locations within CONUS, including those defined below, for certain relocation allowances. Irs gov forms1040x (See parts 302-2, 302-4, and 302-5 of 41 CFR. Irs gov forms1040x ) Table 4 lists all per diem rates alphabetically by state abbreviation. Irs gov forms1040x Click on a link below to find rates for your state: Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas , Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate AL Birmingham Jefferson, Shelby All year $88   $56   $144     Gulf Shores Baldwin 1/1 - 5/31 101   51   152         6/1 - 7/31 126   51   177         8/1 - 12/31 101   51   152     Huntsville Madison, Limestone All year 86   51   137     Mobile Mobile 1/1 - 2/28 98   51   149         3/1 - 12/31 90   51   141   AR Hot Springs Garland All year 101   46   147     Little Rock Pulaski All year 88   61   149   AZ Grand Canyon, Flagstaff Coconino (except city limits of Sedona), Yavapai 1/1 - 2/28 77   66   143         3/1 - 10/31 95   66   161         11/1 - 12/31 77   66   143     Kayenta Navajo 1/1 - 4/30 77   46   123         5/1 - 9/30 89   46   135         10/1 - 12/31 77   46   123     Phoenix, Scottsdale Maricopa 1/1 - 5/31 126   71   197         6/1 - 8/31 81   71   152         9/1 - 12/31 106   71   177     Sedona City limits of Sedona 1/1 - 2/28 129   66   195         3/1 - 4/30 145   66   211         5/1 - 12/31 129   66   195     Sierra Vista Cochise All year 81   46   127     Tucson Pima 1/1 - 1/31 93   56   149         2/1 - 5/31 111   56   167         6/1 - 8/31 77   56   133         9/1 - 12/31 93   56   149     Yuma Yuma All year 81   46   127   CA Antioch, Brentwood, Concord Contra Costa All year 101   66   167     Barstow, Ontario, Victorville San Bernardino Before 4/01/11 83   56   139         After 3/31/11 99   56   155     Benicia, Dixon, Fairfield Solano All year 84   56   140     Death Valley Inyo All year 92   46   138     Eureka, Arcata, Humboldt 1/1 - 5/31 82   61   143     McKinleyville   6/1 - 8/31 92   61   153         9/1 - 12/31 82   61   143     Fresno Fresno All year 91   61   152     Los Angeles Los Angeles (except the city of Santa Monica), Orange, Ventura; Edwards AFB All year 123   71   194     Mammoth Lakes Mono All year 116   61   177   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate CA Mill Valley, San Rafael, Novato Marin All year $106   $56   $162     Modesto Stanislaus All year 85   51   136     Monterey Monterey 1/1 - 6/30 126   71   197         7/1 - 8/31 152   71   223         9/1 - 12/31 126   71   197     Napa Napa 1/1 - 3/31 107   66   173         4/1 - 11/30 142   66   208         12/1 - 12/31 107   66   173     Oakhurst Madera 1/1 - 4/30 78   56   134         5/1 - 8/31 92   56   148         9/1 - 12/31 78   56   134     Oakland Alameda All year 94   61   155     Palm Springs Riverside 1/1 - 4/30 120   71   191         5/1 - 8/31 90   71   161         9/1 - 12/31 104   71   175     Point Arena, Gualala Mendocino All year 88   66   154     Redding Shasta All year 87   61   148     Sacramento Sacramento All year 101   61   162     San Diego San Diego All year 131   71   202     San Francisco San Francisco Before 1/1/11:                   10/1 - 10/31 174   71   245         11/1 - 12/31 142   71   213         After 12/31/10:                   1/1 - 3/31 142   71   213         4/1 - 8/31 150   71   221         9/1 - 12/31 180   71   251     San Luis Obispo San Luis Obispo 1/1 - 6/30 104   66   170         7/1 - 8/31 121   66   187         9/1 - 12/31 104   66   170     San Mateo, Foster City, Belmont San Mateo All year 108   61   169     Santa Barbara Santa Barbara 1/1 - 6/30 143   66   209         7/1 - 8/31 172   66   238         9/1 - 12/31 143   66   209     Santa Cruz Santa Cruz All year 93   66   159     Santa Monica City limits of Santa Monica All year 180   71   251     Santa Rosa Sonoma All year 109   61   170     South Lake Tahoe El Dorado All year 125   71   196     Stockton San Joaquin All year 80   56   136     Sunnyvale, Palo Alto, San Jose Santa Clara All year 116   56   172     Tahoe City Placer All year 87   61   148     Truckee Nevada 1/1 - 2/28 113   71   184         3/1 - 11/30 96   71   167         12/1 - 12/31 113   71   184     Visalia, Lemoore Tulare, Kings All year 83   61   144     West Sacramento Yolo All year 91   51   142     Yosemite National Mariposa 1/1 - 5/31 129   71   200     Park   6/1 - 8/31 162   71   233         9/1 - 12/31 129   71   200   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate CO Aspen Pitkin 1/1 - 3/31 $202   $71   $273         4/1 - 5/31 107   71   178         6/1 - 8/31 143   71   214         9/1 - 11/30 103   71   174         12/1 - 12/31 202   71   273     Boulder, Broomfield Boulder, Broomfield All year 104   61   165     Colorado Springs El Paso All year 84   66   150     Cortez Montezuma 1/1 - 5/31 87   51   138         6/1 - 8/31 105   51   156         9/1 - 12/31 87   51   138     Crested Butte, Gunnison Gunnison 1/1 - 3/31 82   51   133         4/1 - 5/31 77   51   128         6/1 - 8/31 95   51   146         9/1 - 12/31 82   51   133     Denver, Aurora Denver, Adams, Arapahoe, and Jefferson All year 141   66   207     Douglas County Douglas All year 101   61   162     Durango La Plata 1/1 - 5/31 93   61   154         6/1 - 9/30 128   61   189         10/1 - 12/31 93   61   154     Fort Collins, Loveland Larimer All year 84   56   140     Glenwood Springs, Grand Junction Garfield, Mesa All year 86   51   137     Montrose Montrose 1/1 - 5/31 79   56   135         6/1 - 9/30 94   56   150         10/1 - 12/31 79   56   135     Silverthorne, Summit 1/1 - 3/31 147   56   203     Breckenridge   4/1 - 11/30 93   56   149         12/1 - 12/31 147   56   203     Steamboat Springs Routt 1/1 - 3/31 179   56   235         4/1 - 11/30 103   56   159         12/1 - 12/31 179   56   235     Telluride San Miguel 1/1 - 3/31 141   71   212         4/1 - 5/31 93   71   164         6/1 - 9/30 124   71   195         10/1 - 11/30 94   71   165         12/1 - 12/31 141   71   212     Vail Eagle 1/1 - 3/31 261   71   332         4/1 - 8/31 130   71   201         9/1 - 11/30 105   71   176         12/1 - 12/31 261   71   332   CT Bridgeport, Danbury Fairfield All year 114   71   185     Cromwell, Old Saybrook Middlesex All year 83   61   144     Hartford Hartford All year 106   56   162     Lakeville, Salisbury Litchfield All year 93   66   159     New Haven New Haven All year 92   61   153     New London, Groton New London All year 98   61   159   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate DC District of Columbia Washington, DC (also the cities of Alexandria, 1/1 - 2/28 $181   $71   $252       Fairfax, and Falls Church, and the counties of 3/1 - 6/30 211   71   282       Arlington and Fairfax, in Virginia; and the counties 7/1 - 8/31 157   71   228       of Montgomery and Prince George's in Maryland) 9/1 - 10/31 211   71   282       (see also Maryland and Virginia) 11/1 - 12/31 181   71   252   DE Dover Kent 1/1 - 4/30 77   46   123         5/1 - 9/30 92   46   138         10/1 - 12/31 77   46   123     Lewes Sussex 1/1 - 6/30 82   46   128         7/1 - 8/31 123   46   169         9/1 - 12/31 82   46   128     Wilmington New Castle All year 109   56   165   FL Altamonte Springs Seminole All year 80   61   141     Boca Raton, Delray Palm Beach 1/1 - 4/30 111   71   182     Beach, Jupiter   5/1 - 12/31 82   71   153     Bradenton Manatee 1/1 - 4/30 100   56   156         5/1 - 12/31 84   56   140     Cocoa Beach Brevard All year 99   51   150     Daytona Beach Volusia 1/1 - 1/31 84   51   135         2/1 - 7/31 107   51   158         8/1 - 12/31 84   51   135     Fort Lauderdale Broward 1/1 - 2/28 173   71   244         3/1 - 5/31 149   71   220         6/1 - 9/30 103   71   174         10/1 - 12/31 124   71   195     Fort Myers Lee 1/1 - 4/30 115   56   171         5/1 - 12/31 87   56   143     Fort Walton Beach, Okaloosa, Walton 1/1 - 2/28 78   51   129     DeFuniak Springs   3/1 - 5/31 126   51   177         6/1 - 7/31 164   51   215         8/1 - 10/31 112   51   163         11/1 - 12/31 78   51   129     Gainesville Alachua All year 89   51   140     Gulf Breeze Santa Rosa 1/1 - 2/28 92   51   143         3/1 - 5/31 114   51   165         6/1 - 8/31 140   51   191         9/1 - 12/31 92   51   143     Jacksonville, Jacksonville Beach, Mayport Naval Station Duval, Nassau; City of Jacksonville All year 82   51   133     Key West Monroe 1/1 - 1/31 193   71   264         2/1 - 4/30 209   71   280         5/1 - 11/30 145   71   216         12/1 - 12/31 193   71   264     Kissimmee Osceola 1/1 - 5/31 84   46   130         6/1 - 8/31 77   46   123         9/1 - 12/31 84   46   130     Lakeland Polk All year 81   46   127   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate FL Miami Miami-Dade 1/1 - 3/31 $151   $66   $217         4/1 - 5/31 128   66   194         6/1 - 11/30 104   66   170         12/1 - 12/31 151   66   217     Naples Collier 1/1 - 4/30 155   61   216         5/1 - 9/30 101   61   162         10/1 - 12/31 111   61   172     Orlando Orange 1/1 - 5/31 104   56   160         6/1 - 12/31 90   56   146     Panama City Bay 1/1 - 2/28 77   51   128         3/1 - 7/31 110   51   161         8/1 - 12/31 77   51   128     Pensacola, Pensacola Beach Escambia All year 103   46   149     Punta Gorda Charlotte 1/1 - 1/31 77   51   128         2/1 - 4/30 88   51   139         5/1 - 12/31 77   51   128     Sarasota Sarasota 1/1 - 4/30 110   56   166         5/1 - 12/31 86   56   142     Sebring Highlands 1/1 - 3/31 123   46   169         4/1 - 12/31 82   46   128     St. Irs gov forms1040x Augustine St. Irs gov forms1040x Johns All year 97   56   153     Stuart Martin 1/1 - 4/30 102   51   153         5/1 - 12/31 82   51   133     Tallahassee Leon All year 87   46   133     Tampa, St. Irs gov forms1040x Petersburg Pinellas, Hillsborough 1/1 - 4/30 108   51   159         5/1 - 12/31 92   51   143     Vero Beach Indian River 1/1 - 1/31 83   51   134         2/1 - 3/31 99   51   150         4/1 - 12/31 83   51   134   GA Athens Clarke All year 93   46   139     Atlanta Fulton, DeKalb, Cobb All year 132   56   188     Augusta Richmond All year 84   51   135     Columbus Muscogee All year 85   46   131     Jekyll Island, Brunswick Glynn 1/1 - 3/31 92   56   148         4/1 - 11/30 136   56   192         12/1 - 12/31 92   56   148     Savannah Chatham All year 97   56   153   IA Cedar Rapids Linn All year 81   51   132     Des Moines Polk All year 83   51   134     West Des Moines Dallas All year 95   51   146   ID Bonner's Ferry, Boundary, Bonner, Shoshone 1/1 - 6/30 77   61   138     Sandpoint   7/1 - 8/31 99   61   160         9/1 - 12/31 77   61   138     Coeur d'Alene Kootenai 1/1 - 5/31 77   61   138         6/1 - 8/31 105   61   166         9/1 - 12/31 77   61   138     Driggs, Idaho Falls Teton, Bonneville, Fremont All year 78   46   124   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate ID Sun Valley, Ketchum Blaine 1/1 - 5/31 $79   $71   $150         6/1 - 8/31 95   71   166         9/1 - 12/31 79   71   150   IL Bolingbrook, Romeoville, Lemont Will All year 82   51   133     Chicago Cook, Lake 1/1 - 3/31 128   71   199         4/1 - 6/30 166   71   237         7/1 - 8/31 146   71   217         9/1 - 11/30 173   71   244         12/1 - 12/31 128   71   199     Oakbrook Terrace DuPage All year 92   61   153     O'Fallon, Fairview Bond, Calhoun, Clinton, Jersey, Macoupin, All year 105   56   161     Heights, Collinsville Madison, Monroe, St. Irs gov forms1040x Clair                 Springfield Sangamon All year 82   56   138   IN Bloomington Monroe All year 91   56   147     Fort Wayne Allen All year 81   56   137     Hammond, Munster, Merrillville Lake All year 85   46   131     Indianapolis, Carmel Marion, Hamilton; Fort Benjamin Harrison All year 91   61   152     Lafayette Tippecanoe All year 80   51   131     South Bend St. Irs gov forms1040x Joseph All year 87   56   143     Valparaiso, Burlington Beach Porter All year 79   51   130   KS Kansas City, Overland Park Wyandotte, Johnson, Leavenworth All year 99   61   160     Wichita Sedgwick All year 89   56   145   KY Boone County Boone All year 88   51   139     Kenton County Kenton All year 115   56   171     Lexington Fayette All year 89   61   150     Louisville Jefferson 1/1 - 5/31 101   61   162         6/1 - 8/31 95   61   156         9/1 - 12/31 101   61   162   LA Baton Rouge East Baton Rouge Parish All year 96   56   152     Covington, Slidell St. Irs gov forms1040x Tammany Parish All year 88   56   144     Lafayette Lafayette Consolidated Government All year 87   56   143     Lake Charles Calcasieu Parish All year 79   61   140     New Orleans Orleans, Jefferson, Plaquemines, and 1/1 - 6/30 131   71   202       St. Irs gov forms1040x Bernard Parishes 7/1 - 9/30 98   71   169         10/1 - 12/31 131   71   202   MA Andover Essex All year 83   56   139     Boston, Cambridge Suffolk; City of Cambridge 1/1 - 3/31 154   71   225         4/1 - 6/30 190   71   261         7/1 - 8/31 171   71   242         9/1 - 10/31 206   71   277         11/1 - 12/31 154   71   225     Burlington, Woburn Middlesex less the city of Cambridge All year 108   71   179   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate MA Falmouth City limits of Falmouth 1/1 - 4/30 $95   $51   $146         5/1 - 6/30 107   51   158         7/1 - 8/31 161   51   212         9/1 - 12/31 95   51   146     Hyannis Barnstable less the city of Falmouth 1/1 - 6/30 85   56   141         7/1 - 8/31 123   56   179         9/1 - 12/31 85   56   141     Martha's Vineyard Dukes 1/1 - 6/30 114   71   185         7/1 - 8/31 201   71   272         9/1 - 12/31 114   71   185     Nantucket Nantucket 1/1 - 5/31 128   61   189         6/1 - 9/30 243   61   304         10/1 - 12/31 128   61   189     Northampton Hampshire All year 92   56   148     Pittsfield Berkshire 1/1 - 6/30 107   61   168         7/1 - 8/31 126   61   187         9/1 - 12/31 107   61   168     Plymouth, Taunton, New Bedford Plymouth, Bristol All year 88   56   144     Quincy Norfolk All year 114   51   165     Springfield Hampden All year 93   51   144     Worcester Worcester All year 90   61   151   MD Counties of Montgomery   1/1 - 2/28 181   71   252     and Prince George's   3/1 - 6/30 211   71   282         7/1 - 8/31 157   71   228         9/1 - 10/31 211   71   282         11/1 - 12/31 181   71   252     Aberdeen, Bel Air, Belcamp Harford All year 84   56   140     Annapolis Anne Arundel 1/1 - 4/30 100   61   161         5/1 - 10/31 114   61   175         11/1 - 12/31 100   61   161     Baltimore City Baltimore City 1/1 - 2/28 121   71   192         3/1 - 11/30 144   71   215         12/1 - 12/31 121   71   192     Baltimore County Baltimore All year 99   61   160     Cambridge, St. Irs gov forms1040x Michaels Dorchester, Talbot 1/1 - 3/31 101   61   162         4/1 - 5/31 119   61   180         6/1 - 8/31 170   61   231         9/1 - 10/31 131   61   192         11/1 - 12/31 101   61   162     Centreville Queen Anne All year 103   51   154     Columbia Howard All year 105   61   166     Frederick Frederick All year 92   56   148     Hagerstown Washington All year 78   56   134     La Plata, Indian Head Charles All year 84   51   135     Lexington Park, Leonardtown, Lusby St. Irs gov forms1040x Mary's, Calvert All year 102   61   163   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate MD Ocean City Worcester 1/1 - 3/31 $77   $71   $148         4/1 - 5/31 88   71   159         6/1 - 8/31 192   71   263         9/1 - 10/31 105   71   176         11/1 - 12/31 77   71   148   ME Bar Harbor Hancock 1/1 - 6/30 86   61   147         7/1 - 8/31 140   61   201         9/1 - 10/31 112   61   173         11/1 - 12/31 86   61   147     Kennebunk, Kittery, York 1/1 - 3/31 77   56   133     Sanford   4/1 - 6/30 86   56   142         7/1 - 8/31 122   56   178         9/1 - 10/31 96   56   152         11/1 - 12/31 77   56   133     Portland Cumberland, Sagadahoc 1/1 - 6/30 89   56   145         7/1 - 9/30 109   56   165         10/1 - 12/31 89   56   145     Rockport Knox 1/1 - 6/30 80   56   136         7/1 - 9/30 106   56   162         10/1 - 12/31 80   56   136   MI Ann Arbor Washtenaw All year 87   56   143     Detroit Wayne All year 95   56   151     East Lansing, Lansing Ingham, Eaton All year 82   51   133     Grand Rapids Kent All year 81   51   132     Holland Ottawa All year 81   56   137     Kalamazoo, Battle Creek Kalamazoo, Calhoun All year 87   51   138     Midland Midland All year 90   46   136     Muskegon Muskegon 1/1 - 5/31 77   46   123         6/1 - 8/31 101   46   147         9/1 - 12/31 77   46   123     Petoskey Emmet 1/1 - 6/30 77   51   128         7/1 - 8/31 99   51   150         9/1 - 12/31 77   51   128     Pontiac, Auburn Hills Oakland All year 87   56   143     South Haven Van Buren 1/1 - 5/31 77   56   133         6/1 - 8/31 89   56   145         9/1 - 12/31 77   56   133     Traverse City, Leland Grand Traverse, Leelanau 1/1 - 6/30 77   51   128         7/1 - 8/31 109   51   160         9/1 - 12/31 77   51   128   MN Duluth St. Irs gov forms1040x Louis 1/1 - 5/31 80   56   136         6/1 - 10/31 99   56   155         11/1 - 12/31 80   56   136     Eagan, Burnsville, Mendota Heights Dakota All year 82   56   138     Minneapolis, St. Irs gov forms1040x Paul Hennepin, Ramsey All year 120   71   191     Rochester Olmsted All year 95   51   146   MO Columbia Boone All Year 78   51   129   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate MO Kansas City Jackson, Clay, Cass, Platte All year $99   $61   $160     St. Irs gov forms1040x Louis St. Irs gov forms1040x Louis, St. Irs gov forms1040x Charles, Crawford, Franklin, Jefferson, Lincoln, Warren, Washington; St. Irs gov forms1040x Louis City All year 105   66   171     St. Irs gov forms1040x Robert Pulaski All year 78   46   124   MS Gulfport, Biloxi Harrison All year 82   56   138     Hattiesburg Forrest, Lamar All year 85   51   136     Oxford Lafayette County Before 4/01/11 77   46   123         After 3/31/11 96   51   147     Robinsonville Tunica All year 82   51   133     Southaven Desoto All year 88   46   134     Starkville Oktibbeha All year 91   46   137   MT Big Sky, West Gallatin 1/1 - 5/31 80   61   141     Yellowstone   6/1 - 8/31 105   61   166         9/1 - 12/31 80   61   141     Butte Silver Bow All year 86   51   137     Helena Lewis and Clark All year 81   56   137     Missoula, Polson, Missoula, Lake, Flathead 1/1 - 6/30 87   51   138     Kalispell   7/1 - 8/31 104   51   155         9/1 - 12/31 87   51   138   NC Asheville Buncombe 1/1 - 6/30 81   51   132         7/1 - 10/31 90   51   141         11/1 - 12/31 81   51   132     Atlantic Beach, Carteret 1/1 - 5/31 81   56   137     Morehead City   6/1 - 8/31 110   56   166         9/1 - 12/31 81   56   137     Chapel Hill Orange All year 86   56   142     Charlotte Mecklenburg All year 95   51   146     Durham Durham All year 89   51   140     Fayetteville Cumberland All year 91   51   142     Greensboro Guilford All year 85   56   141     Greenville Pitt All year 79   51   130     Kill Devil Dare 1/1 - 5/31 90   61   151         6/1 - 8/31 143   61   204         9/1 - 12/31 90   61   151     New Bern, Havelock Craven All year 94   46   140     Raleigh Wake All year 90   66   156     Wilmington New Hanover All year 97   56   153     Winston-Salem Forsyth All year 83   56   139   ND The standard CONUS rate of $123 ($77 for lodging and $46 for M&IE) applies to all per diem localities in North Dakota. Irs gov forms1040x NE Omaha Douglas 1/1 - 4/30 93   61   154         5/1 - 6/30 104   61   165         7/1 - 12/31 93   61   154   NH Concord Merrimack 1/1 - 5/31 82   51   133         6/1 - 9/30 92   51   143         10/1 - 12/31 82   51   133     Conway Carroll 1/1 - 2/28 116   61   177         3/1 - 6/30 102   61   163         7/1 - 8/31 141   61   202         9/1 - 12/31 116   61   177   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate NH Durham Strafford All year $94   $46   $140     Laconia Belknap 1/1 - 5/31 85   51   136         6/1 - 10/31 101   51   152         11/1 - 12/31 85   51   136     Lebanon, Lincoln, West Lebanon Grafton, Sullivan All year 101   56   157     Manchester Hillsborough All year 86   56   142     Portsmouth Rockingham 1/1 - 6/30 102   61   163         7/1 - 9/30 126   61   187         10/1 - 12/31 102   61   163   NJ Atlantic City, Cape Atlantic, Cape May 1/1 - 3/31 87   66   153     May, Ocean City   4/1 - 12/31 100   66   166     Belle Mead Somerset All year 116   56   172     Cherry Hill, Moorestown Camden, Burlington All year 92   61   153     Eatontown, Freehold Monmouth All year 110   56   166     Edison, Piscataway Middlesex All year 109   51   160     Flemington Hunterdon All year 107   61   168     Newark Bergen, Essex, Hudson, Passaic All year 116   61   177     Parsippany Morris All year 125   56   181     Princeton, Trenton Mercer All year 126   61   187     Springfield, Cranford, New Providence Union All year 94   56   150     Toms River Ocean 1/1 - 5/31 78   51   129         6/1 - 8/31 99   51   150         9/1 - 12/31 78   51   129   NM Albuquerque Bernalillo All year 81   56   137     Las Cruces Dona Ana All year 79   56   135     Los Alamos Los Alamos All year 86   51   137     Santa Fe Santa Fe 1/1 - 6/30 82   71   153         7/1 - 10/31 100   71   171         11/1 - 12/31 82   71   153     Taos Taos All year 87   66   153   NV Incline Village, Washoe 1/1 - 6/30 98   51   149     Reno, Sparks   7/1 - 8/31 123   51   174         9/1 - 12/31 98   51   149     Las Vegas Clark All year 93   71   164     Stateline, Carson City Douglas, Carson City All year 93   61   154   NY Albany Albany All year 104   61   165     Binghamton, Owego Broome, Tioga All year 90   46   136     Buffalo Erie All year 98   56   154     Floral Park, Garden City, Great Neck Nassau All year 143   66   209     Glens Falls Warren 1/1 - 6/30 92   66   158         7/1 - 8/31 133   66   199         9/1 - 12/31 92   66   158     Ithaca, Waterloo, Romulus Tompkins, Seneca All year 114   46   160   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate NY Kingston Ulster All year $101   $66   $167     Lake Placid Essex 1/1 - 2/28 124   61   185         3/1 - 6/30 99   61   160         7/1 - 8/31 145   61   206         9/1 - 11/30 103   61   164         12/1 - 12/31 124   61   185     Manhattan (includes Bronx, Kings, New York, Queens, Richmond Before 1/1/11:               the boroughs of   10/1 - 12/31 269   71   340     Manhattan, Brooklyn   After 12/31/10:               the Bronx, Queens, and Staten Island)   1/1 - 3/31 192   71   263         4/1 - 5/31 212   71   283         6/1 - 8/31 224   71   295         9/1 - 12/31 295   71   366     Niagara Falls Niagara 1/1 - 5/31 77   51   128         6/1 - 8/31 100   51   151         9/1 - 12/31 77   51   128     Nyack, Palisades Rockland All year 103   61   164     Poughkeepsie Dutchess All year 95   66   161     Riverhead, Suffolk 1/1 - 5/31 114   71   185     Ronkonkoma, Melville   6/1 - 8/31 137   71   208         9/1 - 12/31 114   71   185     Rochester Monroe All year 96   51   147     Saratoga Springs, Saratoga, Schenectady 1/1 - 6/30 104   56   160     Schenectady   7/1 - 8/31 151   56   207         9/1 - 12/31 104   56   160     Syracuse, Oswego Onondaga, Oswego All year 93   56   149     Tarrytown, White Plains, New Rochelle Westchester All year 142   71   213     Troy Rensselaer All year 94   51   145     West Point Orange All year 109   51   160   OH Akron Summit All year 85   51   136     Canton Stark All year 88   51   139     Cincinnati Hamilton, Clermont All year 115   56   171     Cleveland Cuyahoga All year 102   56   158     Columbus Franklin All year 94   56   150     Dayton, Fairborn Greene, Darke, Montgomery All year 81   56   137     Hamilton Butler, Warren All year 92   51   143     Mentor Lake All year 88   46   134     Rittman Wayne, Medina All year 87   51   138     Sandusky, Bellevue Erie, Huron 1/1 - 5/31 77   46   123         6/1 - 8/31 83   46   129         9/1 - 12/31 77   46   123     Youngstown Mahoning, Trumbull All year 82   51   133   OK Oklahoma City Oklahoma All year 82   66   148     Tulsa Tulsa, Creek, Osage, Rogers All year 80   61   141   OR Ashland, Crater Lake Jackson, Klamath All year 80   56   136     Beaverton Washington All year 90   51   141   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate OR Bend Deschutes 1/1 - 6/30 $88   $61   $149         7/1 - 8/31 110   61   171         9/1 - 12/31 88   61   149     Clackamas Clackamas All year 87   61   148     Eugene, Florence Lane All year 97   51   148     Lincoln City Lincoln 1/1 - 6/30 83   56   139         7/1 - 8/31 104   56   160         9/1 - 12/31 83   56   139     Portland Multnomah All year 113   66   179     Seaside Clatsop 1/1 - 6/30 93   51   144         7/1 - 8/31 130   51   181         9/1 - 12/31 93   51   144   PA Allentown, Easton, Bethlehem Lehigh, Northampton All year 84   51   135     Bucks County Bucks All year 95   71   166     Chester, Radnor, Essington Delaware All year 96   51   147     Erie Erie All year 82   46   128     Gettysburg Adams 1/1 - 3/31 79   51   130         4/1 - 10/31 98   51   149         11/1 - 12/31 79   51   130     Harrisburg, Hershey Dauphin Before 1/1/11:                   10/31 - 12/31 106   51   157         After 12/31/10:                   1/1 - 3/31 106   51   157         3/31 - 5/31 107   51   158         6/1 - 8/31 134   51   185         9/1 - 12/31 107   51   158     Lancaster Lancaster All year 96   56   152     Malvern, Frazer, Berwyn Chester All year 116   51   167     Mechanicsburg Cumberland All year 83   56   139     Montgomery County Montgomery All year 115   66   181     Philadelphia Philadelphia 1/1 - 8/31 136   66   202         9/1 - 11/30 149   66   215         12/1 - 12/31 136   66   202     Pittsburgh Allegheny All year 115   71   186     Reading Berks All year 89   56   145     Scranton Lackawanna All year 80   56   136     State College Centre All year 86   56   142   RI East Greenwich, Warwick, North Kingstown Kent, Washington All year 84   56   140     Jamestown, Middletown, Newport 1/1 - 4/30 96   71   167     Newport   5/1 - 10/31 145   71   216         11/1 - 12/31 96   71   167     Providence, Bristol Providence, Bristol All year 122   71   193   SC Aiken Aiken All year 81   46   127     Charleston Charleston, Berkeley, Dorchester All year 132   56   188     Columbia Richland, Lexington All year 85   51   136     Greenville Greenville All year 82   56   138   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate SC Hilton Head Beaufort 1/1 - 3/31 $87   $61   $148         4/1 - 8/31 127   61   188         9/1 - 10/31 104   61   165         11/1 - 12/31 87   61   148     Myrtle Beach Horry 1/1 - 3/31 77   51   128         4/1 - 5/31 89   51   140         6/1 - 8/31 116   51   167         9/1 - 10/31 80   51   131         11/1 - 12/31 77   51   128   SD Hot Springs Fall River, Custer 1/1 - 5/31 77   46   123         6/1 - 8/31 101   46   147         9/1 - 12/31 77   46   123     Rapid City Pennington 1/1 - 5/31 77   51   128         6/1 - 8/31 121   51   172         9/1 - 12/31 77   51   128     Sturgis, Spearfish Meade, Butte, Lawrence 1/1 - 5/31 77   51   128         6/1 - 8/31 108   51   159         9/1 - 12/31 77   51   128   TN Brentwood, Franklin Williamson All year 94   56   150     Chattanooga Hamilton All year 88   56   144     Knoxville Knox All year 84   56   140     Memphis Shelby All year 96   61   157     Nashville Davidson All year 110   66   176     Oak Ridge Anderson All year 90   46   136   TX Arlington, Fort Worth, Grapevine Tarrant; City limits of Grapevine All year 138   56   194     Austin Travis All year 104   71   175     Beaumont Jefferson All year 86   51   137     College Station Brazos All year 93   56   149     Corpus Christi Nueces All year 87   51   138     Dallas Dallas; City of Dallas All year 107   71   178     El Paso El Paso All year 88   51   139     Galveston Galveston 1/1 - 2/28 84   56   140         3/1 - 8/31 101   56   157         9/1 - 12/31 84   56   140     Greenville Hunt Before 4/01/2011 78   51   129         After 3/31/2011 86   51   137     Houston Montgomery, Fort Bend, Harris; L. Irs gov forms1040x B. Irs gov forms1040x Johnson Space Center All year 109   71   180     Laredo Webb All year 78   56   134     McAllen Hidalgo All year 85   56   141     Midland Midland All year 92   51   143     Plano Collin All year 100   61   161     Round Rock Williamson All year 90   51   141     San Antonio Bexar All year 106   66   172     South Padre Island Cameron 1/1 - 5/31 85   56   141         6/1 - 7/31 107   56   163         8/1 - 12/31 85   56   141     Waco McLennan All year 85   51   136   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate UT Moab Grand 1/1 - 2/28 $77   $56   $133         3/1 - 10/31 97   56   153         11/1 - 12/31 77   56   133     Park City Summit 1/1 - 3/31 153   71   224         4/1 - 12/31 89   71   160     Provo Utah All year 80   51   131     Salt Lake City Salt Lake, Tooele All year 95   61   156   VA Cities of Alexandria,   1/1 - 2/28 181   71   252     Fairfax, and Falls   3/1 - 6/30 211   71   282     Church; Counties of   7/1 - 8/31 157   71   228     Arlington and Fairfax   9/1 - 10/31 11/1 - 12/31 211 181   71 71   282 252     Abingdon Washington All year 86   46   132     Blacksburg Montgomery All year 95   46   141     Bowling Green Caroline County Before 4/01/2011 77   46   123         After 3/31/2011 89   56   145     Charlottesville Albemarle, Greene; City of Charlottesville All year 113   56   169     Chesapeake, Suffolk City of Chesapeake, City of Suffolk 1/1 - 5/31 78   56   134         6/1 - 8/31 88   56   144         9/1 - 12/31 78   56   134     Chesterfield, Henrico Counties Chesterfield, Henrico All year 87   51   138     Fredericksburg Stafford, Spotsylvania; City of Fredericksburg All year 89   56   145     James City, York, James City and York Counties; City of 1/1 - 3/31 77   51   128     Williamsburg Williamsburg 4/1 - 8/31 91   51   142         9/1 - 12/31 77   51   128     Loudoun County Loudoun All year 111   61   172     Lynchburg Campbell; City of Lynchburg All year 79   51   130     Manassas City of Manassas All year 82   46   128     Norfolk, Portsmouth City of Norfolk, City of Portsmouth All year 92   61   153     Prince William County Prince William All year 89   56   145     Richmond City City of Richmond All year 114   66   180     Roanoke City limits of Roanoke All year 99   51   150     Virginia Beach City of Virginia Beach 1/1 - 5/31 89   56   145         6/1 - 8/31 144   56   200         9/1 - 12/31 89   56   145     Wallops Island Accomack 1/1 - 6/30 84   56   140         7/1 - 8/31 125   56   181         9/1 - 12/31 84   56   140     Warrenton Fauquier All year 93   46   139   VT Burlington, St. Irs gov forms1040x Albans Chittenden, Franklin 1/1 - 5/31 92   66   158         6/1 - 10/31 111   66   177         11/1 - 12/31 92   66   158     Manchester Bennington All year 87   71   158     Middlebury Addison All year 115   61   176     Montpelier Washington All year 100   61   161     Stowe Lamoille 1/1 - 3/31 133   71   204         4/1 - 5/31 101   71   172         6/1 - 12/31 133   71   204   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate VT White River Junction Windsor 1/1 - 2/28 $101   $56   $157         3/1 - 5/31 89   56   145         6/1 - 12/31 101   56   157   WA Anacortes, Coupeville, Oak Harbor San Juan, Skagit, Island All year 90   61   151     Bremerton Kitsap All year 78   66   144     Everett, Lynnwood Snohomish All year 94   61   155     Ocean Shores Grays Harbor 1/1 - 6/30 88   51   139         7/1 - 8/31 107   51   158         9/1 - 12/31 88   51   139     Olympia, Tumwater Thurston All year 86   61   147     Port Angeles, Port Clallam, Jefferson 1/1 - 6/30 94   61   155     Townsend   7/1 - 8/31 123   61   184         9/1 - 12/31 94   61   155     Richland Benton All year 88   46   134     Seattle King All year 139   71   210     Spokane Spokane All year 86   61   147     Tacoma Pierce All year 109   61   170     Vancouver Clark, Cowlitz, Skamania All year 113   56   169   WI Appleton Outagamie All year 81   46   127     Brookfield, Racine Waukesha, Racine All year 87   56   143     Lake Geneva Walworth 1/1 - 5/31 90   51   141         6/1 - 9/30 122   51   173         10/1 - 12/31 90   51   141     Madison Dane All year 88   56   144     Milwaukee Milwaukee All year 95   61   156     Sturgeon Bay Door 1/1 - 6/30 77   56   133         7/1 - 9/30 86   56   142         10/1 - 12/31 77   56   133     Wisconsin Dells Columbia 1/1 - 6/30 77   61   138         7/1 - 8/31 85   61   146         9/1 - 12/31 77   61   138   WV Charleston Kanawha All year 95   51   146     Morgantown Monongalia All year 83   46   129     Shepherdstown Jefferson, Berkeley All year 82   51   133     Wheeling Ohio All year 94   46   140   WY Cody Park 1/1 - 5/31 84   51   135         6/1 - 9/30 117   51   168         10/1 - 12/31 84   51   135     Evanston, Rock Springs Uinta, Sweetwater All year 80   51   131   Table 3. Irs gov forms1040x (Effective October 1, 2010 – September 30, 2011) (Continued) Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate WY Gillette Campbell 1/1 - 5/31 $91   $51   $142         6/1 - 8/31 109   51   160         9/1 - 12/31 91   51   142     Jackson, Pinedale Teton, Sublette 1/1 - 6/30 109   56   165         7/1 - 8/31 158   56   214         9/1 - 12/31 109   56   165     Sheridan Sheridan 1/1 - 5/31 77   56   133         6/1 - 8/31 89   56   145         9/1 - 12/31 77   56   133   1Transition rule. Irs gov forms1040x In lieu of the updated GSA rates that will be effective October 1, 2011, taxpayers may continue to use the CONUS rates in effect for the first 9 months of 2011 (Table 3) for expenses of all CONUS travel away from home that are paid or incurred during calendar year 2011. Irs gov forms1040x A taxpayer must consistently use either these rates or the updated rates for the period of October 1, 2011, through December 31, 2011. Irs gov forms1040x See Transition Rules under How To Use Per Diem Rate Tables for an example. Irs gov forms1040x    2Unless otherwise specified, the per diem locality is defined as “all locations within, or entirely surrounded by, the corporate limits of the key city, including independent entities located within those boundaries. Irs gov forms1040x ”   3Per diem localities with county definitions shall include “all locations within, or entirely surrounded by, the corporate limits of the key city as well as the boundaries of the listed counties, including independent entities located within the boundaries of the key city and the listed counties (unless otherwise listed separately). Irs gov forms1040x ” 4When a military installation or Government-related facility (whether or not specifically named) is located partially within more than one city or county boundary, the applicable per diem rate for the entire installation or facility is the higher of the two rates which apply to the cities and/or counties, even though part(s) of such activities may be located outside the defined per diem locality. Irs gov forms1040x   Note: Recognizing that all locations are not incorporated cities, the term “city limits” has been used as a general phrase to denote the commonly recognized local boundaries of the location cited. Irs gov forms1040x         Table 4. Irs gov forms1040x Maximum Federal Per Diem Rates (Effective October 1, 2011 – September 30, 2012)1 Note: The standard rate of $123 ($77 for lodging and $46 for M&IE) applies to all locations within the continental United States (CONUS) not specifically listed below or encompassed by the boundary definition of a listed point. Irs gov forms1040x However, the standard CONUS rate applies to all locations within CONUS, including those defined below, for certain relocation allowances. Irs gov forms1040x (See parts 302-2, 302-4, and 302-5 of 41 CFR. Irs gov forms1040x ) Table 4 lists all per diem rates alphabetically by state abbreviation. Irs gov forms1040x Click on a link below to find rates for your state: Alabama, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas , Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming Per Diem Locality Computing Maximum Rate State Key City2 County and/or Other Defined Location3,4 Effective Dates Maximum  Lodging  Rate M&IE  Rate Maximum  Per Diem  Rate AL Birmingham Jefferson, Shelby All year $86   $56   $142     Gulf Shores Baldwin 1/1 - 5/31 100   51   151         6/1 - 7/31 117   51   168         8/1 - 12/31 100   51   151     Huntsville Madison, Limestone All year 87   51   138     Mobile Mobile All year 94   51   145     Montgomery/Prattville Montgomery/Autauga All year 80   51   131   AR Hot Springs Garland All year 101   46   147     Little Rock Pulaski All year 86   61   147   AZ Grand Canyon, Flagstaff Coconino (except city limits of Sedona), Yavapai 1/1 - 2/29 77   66   143         3/1 - 10/31 97   66   163         11/1 - 12/31 77   66   143     Kayenta Navajo 1/1 - 4/30 79   46   125         5/1 - 9/30 90   46   136         10/1 - 12/31 79   46   125     Phoenix, Scottsdale Maricopa 1/1 - 5/31 128   71   199         6/1 - 8/31 80   71   151         9/1 - 12/31 105   71   176     Sedona City limits of Sedona 1/1 - 2/29 127   66   193         3/1 - 4/30 145   66   211         5/1 - 12/31 127   66   193     Sierra Vista Cochise All year 83   46   129     Tucson Pima 1/1 - 1/31 90   56   146         2/1 - 5/31 103   56   159         6/1 - 8/31 77   56   133         9/1 - 12/31 90   56   146     Yuma Yuma All year 78   46