Durkin Associates Tax Services
Durkin Associates Tax Services

Mileage Rates

Beginning Jan. 1, 2026, the standard mileage rates for the use of a car, van, pickup or panel truck will be:

  • 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 0.5 cents from 2025.
  • 20.5 cents per mile driven for moving purposes for qualified active-duty members of the Armed Forces, down 0.5 cents from 2025.
  • 14 cents per mile driven in service of charitable organizations, equal to the rate in 2025.

Beginning Jan. 1, 2025, the standard mileage rates for the use of a car, van, pickup or panel truck will be:

  • 70 cents per mile driven for business use, up 3 cents from 2024.
  • 21 cents per mile driven for medical purposes, the same as in 2024.
  • 21 cents per mile driven for moving purposes for qualified active-duty members of the Armed Forces, unchanged from last year.
  • 14 cents per mile driven in service of charitable organizations, equal to the rate in 2024.

The rates apply to fully-electric and hybrid automobiles, as well as gasoline and diesel-powered vehicles.

While the mileage rate for charitable use is set by statute, the mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes, meanwhile, is based on only the variable costs from the annual study.

Under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses. And only taxpayers who are members of the military on active duty may claim a deduction for moving expenses incurred while relocating under orders to a permanent change of station.

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.

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Reminder – The standard mileage rate cannot be used for any vehicle where the taxpayer has:  

     a) claimed depreciation using a method other than straight-line for its estimated useful life

     b) claimed a §179 deduction

     c) claimed the additional first-year (aka “bonus”) depreciation, or

     d) used ACRS or MACRS

For anyone needing to reference an earlier tax year, click the link below:

 https://www.irs.gov/tax-professionals/standard-mileage-rates


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