Mileage Rate | ¹û¶³ÊÓƵ Our Members Bring Choice, Value & Innovation to Agriculture Fri, 16 Jan 2026 17:15:28 +0000 en-US hourly 1 https://wordpress.org/?v=5.2.4 /wp-content/uploads/2023/09/fema-favicon-75x75.png Mileage Rate | ¹û¶³ÊÓƵ 32 32 IRS Bumps Up Mileage Rate for 2026 /news/irs-announces-mileage-rate-increase/ Fri, 16 Jan 2026 17:14:12 +0000 /?p=30604 Mileage rate increases to 72.5 cents per mile, up 2.5 cents from 2025.

The Internal Revenue Service today announced that the optional standard mileage rate for business use of automobiles will increase by 2.5 cents in 2026, while the mileage rate for vehicles used for medical purposes will decrease by half a cent, reflecting updated cost data and annual inflation adjustments.

Effective Jan. 1, 2026, the standard mileage rates for the use of a car, van, pickup or panel tuck are:
72.5 cents per mile driven for business use, up 2.5 cents from 2025.
20.5 cents per mile driven for medical purposes, down a half cent from 2025.
20.5 cents per mile driven for moving purposes for qualified active-duty members of the Armed Forces, reduced by a half cent from last year.
14 cents per mile driven in service of charitable organizations, equal to the rate in 2025.

Use of the standard mileage rates is optional. Taxpayers may instead choose to calculate the actual costs of using their vehicle.

Taxpayers using the standard mileage rate for a vehicle they own and use for business must choose to use the rate in the first year the automobile is available for business use. Then, in later years, they can choose to use the standard mileage rate or actual expenses.

For a leased vehicle, taxpayers using the standard mileage rate must employ that method for the entire lease period, including renewals.

Source:

]]> IRS Bumps Up Mileage Rate for 2022 /shortliner/irs-bumps-up-mileage-rate-for-2022/ Tue, 04 Jan 2022 19:22:29 +0000 /?p=16403 The IRS has declared the optional standard mileage rate for business travel in 2022 is 58.5 cents per mile. That is a 2.5-cent increase over 2021.

Under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses.

Taxpayers may opt to calculate the actual costs of using their vehicle rather than use the standard mileage rate. They must first use the standard rate for a year.

]]> Mileage Rate Drops by Half-Cent /shortliner/mileage-rate-drops-by-half-cent/ Sun, 12 Jan 2020 22:01:07 +0000 /?p=9314 The Internal Revenue Service has issued the 2020 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business.

The standard mileage rates for the use of a car, van, pickup truck, or panel truck is 57.5 cents per mile driven for business use, which is down a half of a cent from the 2019.

Under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for employee travel expenses that are not reimbursed. The standard mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile.

Taxpayers have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.
Source: IRS

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