The IRS has issued the standard mileage rates for 2019. The business-use standard mileage rate for 2019 is 58 cents per mile, up 3.5 cents from 2018. The standard mileage rate for moving and medical purposes will be 20 cents per mile in 2019, up two cents from 2018. The charitable mileage rate is set by statute at 14 cents per mile, so that did not change.
Changes to Federal tax law under the Tax Cuts and Jobs Act have limited the deductions for moving expenses and unreimbursed employee expenses, and the increase in the Federal standard deduction will likely reduce the number of taxpayers that itemize. But many employers use the standard mileage rate to calculate employee reimbursements for business mileage, so the increase will be good news for many taxpayers. If you have any questions, contact us at learnmore@BoulayGroup.com or 952.893.9320.
File Download: Standard Mileage Rates Increase for 2019