IRS Adjusts Optional Standard Mileage Rates For 2017

In Notice 2016-79, the IRS issued the 2017 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes. In lieu of using the optional standard rates, taxpayers have the option of calculating the actual costs of using their vehicle.

Beginning on Jan. 1, 2017, the standard mileage rates for the use of an automobile are:

• 53.5 cents per mile for business miles driven (down from 54 cents that was in effect for 2016)
• 17 cents per mile driven for medical or moving purposes (down from 19 cents that was in effect for 2016)
• 14 cents per mile driven in service of charitable organizations (no change from prior years)