2021 IRS Mileage Rates

When we said, “Goodbye!” to 2020 we said “Hello” to new IRS mileage rates. These are the optional standard mileage rates used to “calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes.”

The 2021 mileage rates are:

• 56 cents per mile driven for business use (a 1.5 cent decrease from the 2020 rate)
• 16 cents per mile driven for medical or moving purposes (a one-cent reduction from the 2020 rate)
• 14 cents per mile driven in service of charitable organizations (no change)

As with the 2020 mileage rates, “under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses. Taxpayers also cannot claim a deduction for moving expenses, except members of the Armed Forces on active duty moving under orders to a permanent change of station.”

If we can be of service for your payroll, accounting, technologies, or wealth management needs, please contact us online or call 215-723-4881.