The IRS has announced the new 2023 standard mileage rates.
The rate for business use of an auto increases 3 cents per mile, from 62.5 cents in 2022 to 65.5 cents for 2023.
The standard mileage rate for medical miles remains 22 cents per mile for 2023 (the remaining the same as the last half of 2022).
The charitable rate is also unchanged at 14 cents per mile driven in service of charitable organizations.
These above rates apply to electric and hybrid-electric automobiles, as well as gasoline and diesel-powered vehicles.
It is important to note that under the Tax Cuts and Jobs Act, taxpayers cannot claim a miscellaneous itemized deduction for unreimbursed employee travel expenses.
Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.