2008 Standard Mileage Rates
By: Charles L. Telk Jr., CPA, Senior Tax Advisor | email
It’s that time again! The Internal Revenue Service has issued the new 2008 optional standard mileage rates. These rates are to be used for calculating the deductible costs of operating a vehicle for business, charitable, medical and moving expenses.
Beginning January 1st, 2008, the standard mileage rates are:
- 50.5 cents per mile (business)
- 19 cents per mile (medical or moving)
- 14 cents per mile (in charitable service)
The new rate for business miles is up 2 cents from 2007 however, medical and moving miles are down 1 cent from last year. The rate for miles driven in the service of a charitable organization has remained the same.
A taxpayer may not use the business standard mileage rate for a vehicle after using any depreciation method under the Modified Accelerated Cost Recovery System (MACRS), after claiming a Section 179 deduction for that vehicle, for any vehicle used for hire or for more than 4 vehicles used simultaneously.
