MILEAGE RATES - THE IRS IS SLOWER THAN... WHO? THE IRS

MILEAGE RATES - THE IRS IS SLOWER THAN... WHO? THE IRS

What can your company do to prepare for the 2021 IRS Mileage Rate? Does your company reimburse its employees at the current IRS Mileage Rate?

The IRS has not yet released the standard mileage rates for 2021. Yes, one would think that they would think ahead a mere month, but no! The rates are typically updated only during December for the following year!

It is my belief that the mileage rate to remain the same as it is for 2020 at 57.5 cents per mile. Yes, I agree, the one-half of one cent seems odd; but this is the rate for business mileage. On the other hand, the charity mileage rate is fixed by Congress. It is only 14 cents per mile driven. If you volunteered for a charitable organization and drove your personal vehicle for services such as delivering meals to seniors, you can deduct the charitable mileage expenses.

When the new IRS business mileage rate is announced, I will update it on this platform.

As always, Rignanese & Associates Law is a resource for individuals and businesses.