IRS Increases Business Mileage Deductible From 50.5 To 58.5 Cents

To help ease the pain of higher gas costs, starting July 1st the IRS will increase the allowable business deductible for business vehicles from 50.5 to 58.5 cents per mile. The IRS is also going to raise the rate for calculating computing deductible medical or moving expenses from 19 cents to 27 cents a mile, also starting July 1st. The rate for charity services, requiring an act of law to change it, remains at 14 cents per mile. If you’ve been meaning to claim business mileage deductions, July 1st will be a great time to begin. Here’s info on how to get started.

IRS Increases Mileage Rates through Dec. 31, 2008 [Press Release]

(Photo: beebo wallace)