2026 Mileage Rates Are Here

The IRS has announced the standard mileage rates for 2026. These rates are used to calculate the deductible cost of operating a vehicle for specific purposes.

2026 Standard Mileage Rates

• Business travel: 72.5 cents per mile (up 2.5 cents)

• Medical and moving: 20.5 cents per mile (down 0.5 cents)

• Charitable work: 14 cents per mile (unchanged)

These rates apply to gas, electric, hybrid-electric, and diesel vehicles.

What the IRS Means by Each Category

1) Business Travel

Business mileage includes miles driven ordinary and necessary for operating your business.

Common examples:

• Driving from your office or pharmacy to a second business location

• Traveling to meet with vendors, accountants, attorneys, or consultants

• Driving to the bank, post office, or supply runs related to business

• Traveling to conferences, continuing education, or professional meetings

What does not qualify:

• Commuting from home to your primary work location

• Personal errands, even if done “on the way” to something business-related

2) Medical and Moving

This category is narrower than most people assume.

Medical mileage includes:

• Driving to medical appointments for yourself, your spouse, or dependents

• Travel to hospitals, clinics, pharmacies, or therapy appointments

Moving mileage:

• Only deductible if you are an active-duty member of the U.S. Armed Forces

• The move must be due to a permanent change of duty station

For most taxpayers, moving mileage is not deductible.

3) Charitable Work

Charitable mileage applies only when driving in service of a qualified charitable organization.

Examples:

• Volunteering and driving on behalf of a registered nonprofit

• Delivering goods or providing services for a charity at their request

Important note:

• Your time is not deductible

• The organization must meet IRS qualification rules

A Few Important Reminders

• Employees cannot deduct unreimbursed mileage as an itemized deduction

• Proper documentation is required, including dates, purpose, and miles driven

• Estimates and reconstructed logs are common audit problems

Mileage deductions are simple in concept but easy to misapply. This is one of the areas we routinely review with clients to make sure mileage is categorized correctly and fully supported.

If you have questions about this topic, speak with your CPA or accountant. And if you need guidance or a second opinion, you’re always welcome to contact us.