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The IRS allows people who travel for business to deduct their meal expenses from their income. The Per Diem rate is set by the IRS. The current rate (as of October 1, 2015) is $63 per day in the Continental US and $68 per day while in Canada.You may hear the amount of the deduction quoted as $50.40.he IRS allows people who travel for business to deduct their meal expenses from their income. The Per Diem rate is set by the IRS. The current rate (as of October 1, 2015) is $63 per day in the Continental US and $68 per day while in Canada.
You can use per diem to substantiate your meals and incidental expenses. You must have actual receipts for lodging (although your employer can reimburse you for lodging under a per diem, your deduction requires documentation of actual expenses).uring the 46 days I was compensated with a base rate âsalaryâ of $10,000 as well as $150/day per diem to cover hotel and food expenses.