The Internal Revenue Service (IRS) has set the 2017 standard mileage rates for tax deduction purposes.
- 53.5 cents per mile for business-related miles
- 17 cents per mile for medical or moving purposes
- 14 cents per mile for miles driven for charitable purposes
Rates for business, medical and moving mileage are down slightly from 2016, while the charitable rate (which is set by law) remains unchanged.
For the business standard mileage rate, the portion that may be treated as depreciation is 25 cents per mile for miles driven in 2017.
Keep in mind that the IRS requires – and strictly enforces – contemporaneous record keeping for deductible mileage. It is important that you keep an accurate written log of all miles driven for business, medical, moving or charitable purposes.
If you’d like more information on vehicle deductions, or on any other tax topic, please call the Gray, Gray & Gray Tax Department at (781) 407-0300.