Tax Short Subjects, 8/20/18

New Per Diem Rates, Health Care Updates

Per Diem Rates Announced

The U.S. General Services Administration (GSA) has posted new per diem rates for 2019. These are the rates employers can use to reimburse employees for job-related travel, within the continental United States, as opposed to paying actual expenses. Per diem rates, set by the GSA, vary by locality. The new rates apply beginning 10/1/18, through 9/30/19. The standard rate for cities that are not specifically listed on the GSA site is a combined rate of $149 for lodging and meals and incidentals. Please contact us if you have specific questions.

Premium Tax Credits Still Available


When individuals enroll to receive health coverage through the health insurance marketplace, they may be eligible for advance payments of premium tax credits. Advance credit payments are paid to an insurance company on taxpayers’ behalf to lower the out-of-pocket cost for their health insurance premiums. Caveat:  Certain household income limits must be met. In a recent case, the U.S. Tax Court denied an advance premium assistance tax credit to a married couple because their income was too high. (TC Memo 2018-124)

Average Health Insurance Premiums Announced

The IRS released the 2018 monthly national average premiums for qualified health plans with a bronze level of coverage. This figure is used to determine the maximum individual shared responsibility payment (or penalty) under the tax code for those without minimum essential coverage. This is the last year the payment is in effect because the Tax Cuts and Jobs Act eliminated it after 12/31/18. For 2018, the monthly bronze level coverage premium is $283 per individual ($272 for 2017) and $1,415 for a family of five or more ($1,360 for 2017). (Rev. Proc. 2018-43)



If you want to talk to us about your personal tax situation, please email us via our contact page and visit our website at

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