The price of gas has gone down in 2014, and so has the Standard Mileage Rate!
Tax Season 2015 is here. Before filing your 2014 taxes, you’ll want to organize any receipts related to the costs of your vehicle if used for business, medical, charity or moving reasons.
It pays to stay organized; the more expenses you end up reporting, the larger your refund check will be.
Standard Mileage Rate 2014
Small business owners, employees, self employed individuals and other taxpayers, can use the standard mileage rate to calculate their tax deductible vehicle costs. These costs must be related to business, charity, medical or moving purposes.
According to the IRS, the standard mileage rate for the use of a cars, vans, pickups, and panel trucks are as follows;
56 cents per mile for business miles driven
23.5 cents per mile driven for medical or moving purposes
14 cents per mile driven in service of charitable organizations
The 2014 mileage rates for business, medical and moving expenses have decreased one-half cent per mile from the 2013 standard mileage rates.
However, the standard mileage rate for charitable expenses hasn’t changed since the Clinton era. In fact, this rate is fixed and can only be changed by Congress.
Keep in mind, there are a few rules of who can and cannot use the standard business mileage rates;