Taxpayers who claim the standard mileage rate deduction for the miles they log for business purposes will be able to write off 67 cents per mile in 2024, the IRS recently announced.
That is up 1.5 cents from the rate that was in effect for 2023.
Drivers who take the standard mileage rate deduction for qualifying medical- or moving-related reasons will not see an increase for 2024. On the contrary, they will see a decrease: The applicable rate will be 21 cents per mile, down from 22 cents for 2023.
Drivers who take the standard mileage rate deduction for miles driven in service of a charitable organization will not see any change. That rate will remain at 14 cents.
The IRS notes that the standard mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile, whereas the rate for medical and moving purposes is based on variable costs.
The rate for miles driven in service of a charity is set by law.
Only those who qualify for any standard mileage rate deduction can take it. The IRS offers more information about how to qualify for the following uses on its website:
Taking the standard mileage rate deduction is just one method of getting a tax break for qualifying expenses. Eligible taxpayers can choose instead to calculate the actual costs of using their vehicle and deduct that amount, as we detail in “6 Things Every Gig Worker Needs to Know About Taxes.”
To learn about other changes for the 2024 tax year — the one for which your return is due by April 2025 — check out:
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