The IRS just announced that starting on Jan. 1, 2020, the standard mileage rates for the use of a car (along with vans, pickups or panel trucks) will be:
- 57.5 cents per mile driven for business use, down half a cent from the 2019 rate;
- 17 cents per mile driven for medical or moving purposes, down three cents from the 2019 rate; and
- 14 cents per mile driven on behalf of charitable organizations.
The business mileage rate declined half a cent for business travel driven and three cents for medical and certain moving expenses from the 2019 rates. The charitable rate is set by statute and stays unchanged.
Additionally, under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses. Taxpayers also cannot claim a deduction for moving expenses, except members of the Armed Forces on active duty moving under orders to a permanent change of station.
If you have any questions about calculating mileage, contact us today.
by Steven R. Gallant, CPA, Partner