U.S. tax law requires employers to report certain employee benefits as taxable fringe benefits. When an employee receives a per diem allowance for travel that does not require an overnight stay, the University is required to report the allowance as taxable income to the employee. This requirement applies regardless of whether the travel is in‑state or out‑of‑state.
Per diem allowances for one‑day trips must be entered in Concur using the following expense account codes:
- Partial Day Per Diem – 6–12 Hours (IS or OS) – 72610
- Partial Day Per Diem – 12+ Hours (IS or OS) – 72611
Learn more at:
https://taxoffice.ua.edu/fringe-benefit-taxation/#PerDiem