How many cents per mile 2018

Taxpayers can use the optional standard mileage rates to calculate the deductible costs of operating an automobile. Driving for medical or moving purposes may be deducted at 18 cents per mile, which is one cent higher than for The medical and moving expense deductions may be affected by the pending tax reform legislation.

The rate for service to a charitable organization is unchanged, set by statute at 14 cents per mile Sec. The portion of the business standard mileage rate that is treated as depreciation will be 25 cents per mile for , unchanged from In other cases, it depends on if the vehicle is new to your business this year or whether you want to take advantage of certain first-year depreciation tax breaks on it.

As you can see, there are many factors to consider in deciding whether to use the mileage rate to deduct vehicle expenses. We can help if you have questions about tracking and claiming such expenses in — or claiming them on your income tax return. Search for:. February 19, Categories: Tax Related Topics. Calculating your deduction Businesses can generally deduct the actual expenses attributable to business use of vehicles.

More In News. IR, Dec. This page is designated as historical and is no longer updated. Vehicle Replacement Costs Rise. New vehicle prices in the U. The increase in vehicle costs is something businesses with fleet programs will need to consider when planning budgets for the coming year, Runzheimer's analysts noted. Was this article useful? SHRM offers thousands of tools, templates and other exclusive member benefits, including compliance updates, sample policies, HR expert advice, education discounts, a growing online member community and much more.

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