The Internal Revenue Service has issued the 2021 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes.
Beginning on January 1, 2021, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) are as follows:
- 56 cents per mile driven for business use, down 1.5 cents from the rate for 2020.
- 16 cents per mile driven for medical or moving purposes for qualified active-duty members of the Armed Forces only, down 1 cent from the rate for 2020.
- 14 cents per mile driven in service of charitable organizations. This rate is set by statute and has not changed.
Read the full announcement on the IRS website.
