IRS 2010 Mileage Rates Going Down
The IRS has announced that the mileage deductions are going down in 2010. You may recall they were raised in response to the gas crises of recent years when we were hitting $4 a gallon - now that we are back in the $2 range, the deduction rate is going down:
The new rates effective 1/1/10 are:
Business - $0.50 (down from $0.55)
Medical/Moving - $0.165 (down from $0.24)
Charitable - remains the same at $0.14
Interesting however that while gas price levels are definitely off their peak, Bloomberg.com reports:
The national unleaded average gasoline price rose to $2.633 per gallon yesterday, according to AAA. The cost of gasoline is 83 cents a gallon higher than at the same time last year.
Don't forget that if your employer does not reimburse you for mileage, and you itemize, you might be able to deduct mileage on your 1040.
