Do you use your car for business, medical, moving or charitable purposes? If so, you’ll want to be aware of the updated standard mileage rates. The IRS adjusts these rates annually, reflecting changes in the cost of operating a vehicle. Remember, you have the option to use the standard mileage rates or actual expenses to calculate your tax deductions related to vehicle use.
For 2023, the standard mileage rates have been adjusted as follows: 65.5 cents per mile driven for business use, 22 cents per mile driven for medical or moving purposes, and 14 cents per mile driven in service of charitable organizations. These rates take into account things like depreciation, insurance, repairs, and fuel costs. If you have any questions about how to properly record and report these expenses, don’t hesitate to reach out to our office. We’re here to help you understand how these changes may affect your tax situation.
For more information, please visit https://www.irs.gov/newsroom/irs-issues-standard-mileage-rates-for-2023-business-use-increases-3-cents-per-mile