IRS Increases Mileage Rate

Effective Jan. 1, the IRS Standard Mileage Rate for 2018 will increase a penny to 54.5 cents per mile. The standard mileage rate for business is based on an annual study of the fixed and variable costs of operating an automobile.

The maximum allowable Mileage Rate cost in 2018 is $27,300 for automobiles, and $31,000 for trucks and vans.

Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.