Due to higher gas prices, the Internal Revenue Service has increased the deductible business mileage rate to 58.5 cents a mile beginning on July 1st, 2008 and continuing until December 31, 2008.
They also increased the medical and moving rates to 27 cents a mile.
The rate for providing services to charitable organiations remains unchanged at 14 cents a mile. This rate is set by statute and can not be changed by the IRS – only through the legislature.
For more complete information, see IR-2008-82.
Are you taking advantage of your mileage deductions? If you are unsure, be sure you read this former post related to your mileage deduction and automobile expenses.