WHAT IS THE IRS MILEAGE RATE TAX DEDUCTION FOR 2020, 2021? The IRS has announced the standard Federal mileage rates for the new tax year. If you must drive for your job, medical reasons, or as part of a charity effort, you could get a tax deduction on your mileage and reduce your overall tax bill. How Much is the Current Standard IRS Mileage Rate? Starting from the beginning of the calendar year, the standard mileage rate for vehicles used for work, medical, and charitable purposes are as follows.
So How is the Business Standard Mileage Rate Calculated?
Medical Mileage
It’s based on fixed and variable costs of running a vehicle. Only variable costs are considered for medical purposes.
Medical miles can be deducted for you and direct dependents, such as your spouse and children.
www.filemytaxesonline.org/irs-mileage-rate-change