The IRS standard mileage rate for business driving in 2026 is 76 cents per mile for miles driven from July 1 to December 31, 2026, after the IRS raised it from 72.5 cents (January 1 to June 30, 2026). Medical and qualifying moving miles are 23.5 cents (20.5 cents earlier in the year), and charitable miles stay at 14 cents, a rate fixed by statute. At 76 cents, 10,000 business miles are worth $7,600; at 72.5 cents, $7,250.
Key facts
- The rate depends on when you drive: miles driven before July 1, 2026 use the earlier rates, and miles driven on or after July 1 use the higher ones. The IRS made the change because of recent increases in fuel prices.
- Using the standard mileage rate is optional. You can deduct the actual costs of operating the vehicle instead.
- Employees generally cannot deduct unreimbursed work mileage for 2026; self-employed people deduct business mileage on Schedule C, and there are a few employee exceptions listed below.
- Driving between home and your regular workplace is commuting and is not business mileage.
- For 2026, 35 cents of the business rate is treated as depreciation, which reduces your car’s tax basis if you use the standard rate.
2026 IRS standard mileage rates
The IRS announced the 2026 rates in Notice 2026-10 and then raised the business, medical and moving rates for miles driven on or after July 1 in Announcement 2026-11. The charitable rate did not change.
| Purpose | January 1 to June 30, 2026 | July 1 to December 31, 2026 | 2025 (full year) |
|---|---|---|---|
| Business | 72.5 cents | 76 cents | 70 cents |
| Medical | 20.5 cents | 23.5 cents | 21 cents |
| Moving (qualifying military and intelligence community only) | 20.5 cents | 23.5 cents | 21 cents |
| Charitable (set by statute) | 14 cents | 14 cents | 14 cents |
What your miles are worth
Multiply your miles by the rate for the period in which you drove. If you drove in both periods, work out each half separately and add them. For example, 12,000 business miles with 6,000 driven in each period come to $4,350 at 72.5 cents plus $4,560 at 76 cents, or $8,910 in total.
| Business miles | Jan. 1 to June 30 (72.5 cents) | July 1 to Dec. 31 (76 cents) | 2025 (70 cents) |
|---|---|---|---|
| 1,000 miles | $725 | $760 | $700 |
| 5,000 miles | $3,625 | $3,800 | $3,500 |
| 10,000 miles | $7,250 | $7,600 | $7,000 |
| 15,000 miles | $10,875 | $11,400 | $10,500 |
| 20,000 miles | $14,500 | $15,200 | $14,000 |
| Miles | Medical or moving, Jan. 1 to June 30 (20.5 cents) | Medical or moving, July 1 to Dec. 31 (23.5 cents) | Charitable, all year (14 cents) |
|---|---|---|---|
| 1,000 miles | $205 | $235 | $140 |
| 5,000 miles | $1,025 | $1,175 | $700 |
| 10,000 miles | $2,050 | $2,350 | $1,400 |
| 15,000 miles | $3,075 | $3,525 | $2,100 |
| 20,000 miles | $4,100 | $4,700 | $2,800 |
Who can deduct business mileage
- Self-employed people and business owners can deduct business miles, using either the standard rate or actual vehicle costs, on Schedule C (or Schedule F for farmers). Keep a record of each business trip: the date, your destination, the business purpose and the miles, plus your total miles for the year.
- Employees generally cannot. The IRS says the permanent disallowance of miscellaneous itemized deductions means the business rate cannot be used to claim an itemized deduction for unreimbursed employee travel, apart from certain educator expenses. Armed Forces reservists, fee-basis state or local government officials and certain performing artists can still deduct unreimbursed employee travel as an adjustment to income.
- Commuting between your home and your regular workplace is personal, however far it is, so it does not count.
Employer reimbursement is separate from the deduction
What your employer pays you for mileage is a separate question from what you can deduct. Under an accountable plan, an allowance up to the IRS rate is left out of your W-2 wages, and any amount above the IRS rate is reported as wages. Because employees generally cannot deduct unreimbursed mileage, the reimbursement is what matters: use the paycheck calculator to see how taxable pay affects take-home pay, and the income tax calculator to see the effect of a self-employed deduction.
Medical, moving and charitable miles
Medical miles are an itemized deduction that counts only above 7.5% of adjusted gross income. The moving rate is limited to active-duty members of the Armed Forces moving under a military order for a permanent change of station, and to members of the intelligence community who move after December 31, 2025 for a change of assignment. Charitable miles must be driven to give unpaid service to a charitable organization and are claimed on Schedule A if you itemize. See how these deductions fit into your return with the 2026 tax brackets and the 2026 standard deduction.
Frequently asked questions
What is the IRS mileage rate for 2026?
For business, the rate is 76 cents per mile for miles driven on or after July 1, 2026, and 72.5 cents for miles driven before that. Medical and qualifying moving miles are 23.5 cents from July 1 and 20.5 cents earlier. Charitable driving is 14 cents all year. The 2025 business rate was 70 cents.
Why did the business mileage rate change in July 2026?
The IRS revised the rates in Announcement 2026-11, saying the change results from recent increases in the price of fuel. The new rates apply to expenses paid or incurred, and to employer allowances paid, on or after July 1, 2026. Earlier miles stay at the January rates, so a full year of driving can mix two rates.
Can employees deduct mileage on their 2026 taxes?
Generally no. Because miscellaneous itemized deductions are now permanently disallowed, the business rate cannot be used to claim an itemized deduction for unreimbursed employee travel. Exceptions, which deduct the expense as an adjustment to income, cover Armed Forces reservists, fee-basis state or local government officials and certain performing artists. Certain educator expenses are also treated separately.
If my employer reimburses my mileage, can I also deduct it?
No, not for the same miles. Under an accountable plan, reimbursement up to the IRS rate is not included in your W-2 wages, and you do not deduct those expenses. If your employer pays more than the IRS rate, the excess is reported as wages. What your employer actually pays is set by its policy and may be higher or lower than the IRS rate.
Did the charity mileage rate change?
No. The charitable rate is 14 cents per mile in 2026 and in 2025, because Congress fixed it in section 170(i) of the Internal Revenue Code. Unlike the business and medical rates, it does not move with fuel prices. You can deduct it only if you itemize on Schedule A; the new 2026 deduction for people who do not itemize covers cash gifts.
Can I deduct medical mileage?
Only if you itemize and your total medical and dental expenses exceed 7.5% of your adjusted gross income. The deduction is limited to the amount above that floor. You can use the medical rate (23.5 cents from July 1, 20.5 cents before) or your actual costs, plus tolls and parking.
Should I use the standard mileage rate or actual expenses?
Compare both if you qualify for each, since the larger deduction wins. If you own the car, you must choose the standard rate in the first year it is available for business use; if you lease, you must use it for the whole lease, renewals included. You cannot use it if you operate five or more cars at once. Tolls and business parking are deductible on top of the rate.
Calculators that use these figures
- Income Tax Calculator: 2026 federal and state income tax, effective rate and refund estimate.
- Paycheck Calculator: Take-home pay per paycheck after 2026 federal, state and FICA taxes.