The 2026 IRS mileage rates
The IRS raised its business and medical rates for driving on or after July 1, 2026. The charity rate is set by law and stayed at 14¢.
| Jan 1 – Jun 30 | Jul 1 – Dec 31 | |
|---|---|---|
| Business | 72.5¢ | 76¢ |
| Medical | 20.5¢ | 23.5¢ |
| Charity | 14¢ | 14¢ |
The date of the drive decides the rate. Notice 2026-10 set the rates the year started with, and Announcement 2026-11 applies the new ones to costs paid or incurred on or after July 1, 2026. A drive on June 30 uses 72.5¢; a drive on July 1 uses 76¢.
How the two rates add up
Work out each half of the year on its own, then add them. Say you drove 4,200 business miles from January through June and 5,100 from July through December:
| Driven | Miles | Rate | Deduction |
|---|---|---|---|
| Jan 1 – Jun 30 | 4,200 | 72.5¢ | $3,045.00 |
| Jul 1 – Dec 31 | 5,100 | 76¢ | $3,876.00 |
| All of 2026 | 9,300 | $6,921.00 |
One rate for the whole year gets it wrong either way. All 9,300 miles at 72.5¢ comes to $6,742.50, which is $178.50 too little. At 76¢ it’s $7,068.00, $147.00 more than the rates allow.
A deduction isn’t money back. It lowers the income you’re taxed on, so what it saves you depends on your tax rate.
Using the standard rate
- The rate stands in for the cost of running the car: gas, oil, repairs, insurance, registration, and depreciation or lease payments. You can’t deduct those as well.
- Business parking fees and tolls are deductible on top of it.
- For a car you own, you choose the standard rate in the first year you use the car for business. For a leased car, you use it for the whole lease.
- You can’t use it if you run five or more cars at the same time, as in a fleet.
Which miles count
Drives for your work count: to clients and customers, between job sites, to pick up supplies, and the miles you drive while working for a gig app. Drives between home and your regular place of work are commuting, which is personal, so leave them out.
Keep a log with the date, place, miles and business purpose of each drive. Didn’t keep one for 2026? Here’s how to rebuild one.
Reimbursed by an employer?
The IRS rate is a tax figure, not a pay law, so employers can reimburse at a different rate. When you account for your miles to your employer, reimbursement up to the IRS rate generally isn’t taxed, and the part above it is reported as wages.
Some states require employers to cover employees’ necessary work expenses; California’s Labor Code § 2802 is one. Most employees can’t deduct miles their employer doesn’t pay back on their federal return. A few groups are exceptions, such as Armed Forces reservists; IRS Form 2106 lists them.
Medical and charity miles
Driving to get medical care uses the medical rate and counts toward your medical expenses. You can deduct those only if you itemize, and only the part above 7.5% of your adjusted gross income. The same rate applies to the few moves that are still deductible, such as a move by active-duty military.
Driving to volunteer for a charity uses 14¢ a mile, a rate set by law, and counts as a charitable contribution. Parking and tolls can be added to medical and charity miles too.
What about 2027?
The IRS hasn’t announced its 2027 rates yet. It usually does in December: the 2026 rates came out on December 29, 2025, and the 2025 rates on December 19, 2024. This calculator will add 2027 the day the new rates are published.
Every drive at its own rate, automatically
Tenths logs your drives on its own and gives each one the IRS rate for its date, so a year with two rates adds up to the cent without splitting anything by hand. Your drives stay on your iPhone. Nothing reaches us.
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- IRS, Standard mileage rates
- IRS, IR-2025-128 (December 29, 2025): the rates from January 1, 2026, in Notice 2026-10
- IRS, Internal Revenue Bulletin 2026-29: Announcement 2026-11, the rates from July 1, 2026
- IRS, IR-2024-312 (December 19, 2024): the 2025 rates
- IRS Publication 463, Travel, Gift, and Car Expenses, and Topic no. 510, Business use of car: what the standard rate covers, parking and tolls, choosing the rate, and commuting
- IRS Revenue Procedure 2019-46, sections 7.04 and 7.05: mileage allowances at and above the standard rate
- IRS Instructions for Form 2106: who can deduct unreimbursed employee expenses
- IRS Topic no. 502, Medical and dental expenses, and Publication 526, Charitable Contributions
- 26 U.S.C. § 170(i): the 14¢ charity rate
- California Labor Code § 2802
This is general information, not tax advice. Your situation may differ, so ask a tax professional before you file. The calculator runs in your browser: nothing you type, paste or choose is sent to us or anyone else. MileIQ, Stride, Everlance and Google Sheets are trademarks of their owners; Tenths isn’t affiliated with or endorsed by them.