Category Archives: Mileage Rates

2016 Mileage Rates

The IRS has reduced mileage rates for 2016.

Business Rate

For taxpayers using their personal vehicle for business purposes, the mileage rate in 2014 was 56 cents a mile, in 2015 the rate increased to 57.5 per mile.

For 2016 primarily as a result of lower fuel costs the rate is reduced to 54 cents per mile.

Medical/Moving

The rate relating to medical or moving was 23.5 cents per mile in 2014 and 23.0 cents per in 2015.  The rate for 2016 is 19 cents per mile.

Charitable Rate

The rate for mileage related to Charitable Contributions is set by Congress, rather than the IRS, and remains at 14 cents per mile.

 

2015 Mileage Rates

The IRS has announced the mileage rates for 2015.

Even thought fuel prices continue to decline, and are approaching $2,00 a gallon.  The mileage rate for 2015 is 57.5 an increase from 56 cents per mile in 2014.  This is the rate to use foe business miles.

The rate for medical and moving mileage will decline in 2015 to 23 cents a mile.

The rate to use when using your vehicle related to charity is set by congress (not the IRS) and remains at 14 cents per mile.

Should you have questions, you should contact BDS, or your tax professional.

 

 

2014 Standard Mileage Rates

photo credit: allaboutgeorge via photopin cc

photo credit: allaboutgeorge via photopin cc

If you use your vehicle for business – or medical, or moving, or in service of charitable organizations the IRS has issued new optional standard mileage rates for 2014. The rate for business use is 56 cents per mile. This is a decline from the 2003 rate of 56.5 cents per mile. The business rate can be used by those taxpayers using their personal vehicle in a business they operate or if they work for a company that does not reimburse them for using their personal vehicle. This does not apply to commuting mileage to and from their primary job to their residence. Taxpayers must maintain adequate records (a log indicating dates, miles driven, and business purpose of each trip). Taxpayers have the option of using actual costs including depreciation, fuel, maintenance, insurance etc.

If the actual expense method is used, actual expense must be reduced for any personal mileage used. The rate for medical and moving has also been reduced .5 cent. the new rate is 23.5 cents per mile. Medical mileage includes doctor, lab and hospital visits, even picking up medicine.

However medical mileage is part of total medical deductions which now only the amount over 10% of adjusted gross income is deductible. Moving mileage must be associated with a new job or job transfer to be deductible. There is no change in the mileage rate for vehicles in the service of charitable organizations. The charitable rate which was established by Congress and remains at 14 cents per mile.

photo credit: Sherlock77 (James) via photopin cc

photo credit: Sherlock77 (James) via photopin cc

Mileage Rates for 2013

IRS Mileage Rates

photo credit: allaboutgeorge via photopin cc

photo credit: allaboutgeorge via photopin cc

Effective January 1, 2013 mileage rates allowed will change.  Mileage rates allowed for business use of vehicles will increase back to 56.5 cents per mile.

Medical and Moving mileage rates will be 24 cents per mile.  The rate for using vehicles for charitable causes is established by Congress – and remains at 14 cents per mile.  For additional information on this tax law or other tax issues please contact us @ 816-454-5057 or dclemens@bdsaccounting.com

New Mileage Rates for 2nd half of 2008

The IRS has figured out that fuel costs have recently risen.

Therefore effective July 1, 2008 mileage rates allowed have increased.

Mileage rates allowed for business use of vehicles has increased from 50.5 cents for the 1st half of 2008 to $58.5 cents for the period of July 1, 2008 – December 31, 2008.

Medical and Moving mileage rates were 19 cents a mile for the first half of 2008, and increased to 27 cents thru December 31.

The rate for using vehicles for charitable causes is established by Congress – and remains at 14 cents per mile.

For additional information on this tax law or other tax issues please contact us @ 816-454-5057 or dclemens@bdsaccounting.com

photo credit: Out.of.Focus via photopin cc

photo credit: Out.of.Focus via photopin cc