The Internal Revenue Service is boosting its optional standard mileage rate for 2024.
Beginning Jan. 1, 2024, the standard mileage rates for the use of a motor vehicle will be:
- 67 cents per mile driven for business use, up 1.5 cents from 2023.
- 21 cents per mile driven for medical or moving purposes for active-duty members of the Armed Forces, a decrease of 1 cent from 2023.
- 14 cents per mile driven in service of charitable organizations; the rate is set by statute and remains unchanged from 2023.
These rates, used to calculate deductible costs for operating the vehicles, apply to electric and hybrid-electric automobiles as well as gasoline and diesel-powered vehicles. Taxpayers also have the option of calculating the actual cost of using their vehicle rather than using the standard mileage rates.
The new rates would be used in 2024 tax returns that would be filed in 2025.
https://www.al.com/news/2023/12/irs-changes-mileage-rates.html
