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IRS Sets Standard Mileage Rate for 2026 at 72.5 Cents

December 29, 2025
An odometer turning over

The IRS has released (2026-10) the 2026 standard mileage rates. The rates are used to determine the deductible costs of using a vehicle for business, charitable, medical, or moving purposes. The new rates are effective January 1, 2026. Note that the rates apply to electric, hybrid, gas, and diesel-powered vehicles. 

The 2026 and 2025 rates:

   2026 2025
 Business Use  72.5 cents per mile  70 cents per mile
 Medical and Moving Purposes  20.5 cents per mile  21 cents per mile
 Charitable Use  14 cents per mile  14 cents per mile
 

For taxpayers who use a vehicle for business purposes, the amount of the standard mileage treated as depreciation is 35 cents per mile. This amount was 33 cents per mile in 2025.

For those who use a fixed and variable rate plan, the maximum standard automobile cost that may be used in computing the allowance for 2026 is $61,700. This amount was $61,200 in 2025. 

 

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