2012 IRS Mileage Rates Announced

The IRS has announced 2012 mileage rates for the standard mileage reimbursement.  The new rates are very similar to this year.  Starting January 1^st, the rate for business miles remains at 55.5 cents per mile, with medical/moving miles decreasing half a penny to 23 cents per mile.  Charitable miles remain at 14 cents per mile.

You still have a choice as to whether to use actual vehicle expenses or the standard mileage rates, however you do need to track your total miles and business miles regardless.  Additionally, the standard mileage method is not available to you once you’ve begun depreciating the vehicle including under section 179 of the tax code.

For more questions regarding your tax circumstances, please consult a tax advisor or the IRS website directly.