15 December 2017 Federal mileage rates increase for 2018 Effective January 1, 2018, the business standard mileage rate for use of a car (including vans, pickup trucks, and panel trucks) increases from $0.535 to $0.545 and the rate for medical and relocation increases from $0.170 to $0.180. Mileage related to charity is set by law and remains at $0.140 per mile. (IRS Notice 2018-03) Note that the business standard mileage rate may not be used (1) after using any depreciation method under the Modified Accelerated Cost Recovery System (MACRS), (2) after claiming the Section 179 deduction for that vehicle, (3) after claiming depreciation using a method other than straight-line for the estimated useful life, or (4) to compute the deductible expenses for more than four vehicles used simultaneously. (Revenue Procedure 2010-51, IRB 883.) For the rates and limits applicable in 2017 see our special report.
Document ID: 2017-2129 | ||||||||||||
