Question 1

What is the IRS mileage rate for 2025?

Accepted Answer

The IRS standard mileage rates for 2025 are: 70 cents per mile for business use, 21 cents per mile for medical or moving purposes (qualified active-duty military), and 14 cents per mile for charitable organizations. The 2026 rates are typically announced by the IRS in late December 2025.

Question 2

Who can deduct mileage on their taxes?

Accepted Answer

Self-employed individuals and independent contractors can deduct business mileage on Schedule C. Employees cannot deduct unreimbursed mileage under current tax law (the miscellaneous itemized deduction for employee business expenses is suspended through 2025). Medical mileage is deductible on Schedule A if you itemize and your total medical expenses exceed 7.5% of AGI. Charitable mileage is deductible on Schedule A if you itemize.

Question 3

Should I use the standard mileage rate or actual expenses?

Accepted Answer

You can choose either the standard mileage rate or the actual expense method for each vehicle. The standard rate is simpler — just track your business miles and multiply by the IRS rate. The actual expense method requires tracking all vehicle costs (gas, repairs, insurance, depreciation) and multiplying by the business-use percentage. You can switch methods year to year for owned vehicles, but leased vehicles that start with the standard rate must stay with it for the entire lease.

Standard Mileage Method	Deduction
Business (12000 mi × $0.7/mi)	$8,400
Total Standard Deduction	$8,400

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