The Office of Government-wide Policy (OGP) confirmed when the M&IE is reduced to 75% the full cost of a provided meal is deducted and that the meal itself is not reduced at the 75% rate based upon §301-11.18 of the FTR.

For example, the M&IE rate for Chicago is $74.  First day of travel would be $55.50.  If breakfast was provided ($17), the new calculated M&IE for the first day of travel would be $38.50.  The total amount of meal deductions cannot result in a lesser amount than the incidentals authorized for the location, in this example for Chicago that would be $5.