There is a per diem rate for combined lodging and meal costs, and a per diem rate for meal costs alone. An employer may use either per diem method for reimbursing employee travel expenses. A self-employed person can only use per diem for the meal costs associated with expenses incurred for travel away from home. For income reported to you on Form 1099-NEC, you are self-employed. The amount of income you report on Schedule C is the total amount of non-employee compensation reported on Form 1099-NEC, which includes the per diem. You then report your expenses on Schedule C. For meal expenses incurred for travel away from home you can use the per diem rate, or your actual expenses. For all other expenses such as mileage and lodging, you report the actual expense. If you use the per diem rate for meals, you report it as a meal expense.
The standard meal allowance is the federal M&IE rate. For travel from January 1–September 30, 2021, the rate for most small localities in the United States is $59 per day, and $64 per day for travel on or after October 1, 2022. Most major cities and many other localities in the United States are designated as high-cost areas, qualifying for higher standard meal allowances. You can find this information (organized by state) at GSA.gov/travel/plan-book/per-diem-rates
For more information on a temporary 100% deduction for food or beverages provided by a restaurant paid or incurred after December 31, 2020, and before January 1, 2023, refer to Notice 2021-25PDF. For more information on a special rule that allows the temporary 100% deduction for the full meal portion of a per diem rate or allowance, refer to Notice 2021-63
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