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November 24, 2008

IRS sets new mileage rate

Starting next year, you will get less money for using your car or truck for work.

The IRS today released the new mileage reimbursement rate, which reflects the recent decline in gas prices as well as other driving-related costs.

Next year, you’ll get 55 cents per mile, down from 58½ cents. The business mileage rate at the beginning of this year was 50½ cents, but was raised 8 cents mid-year as gas prices soared.

Similarly, the mileage rate if you use your vehicle for medical trips or moving will be 24 cents per mile next year, down 3 cents. The rate early this year started at 19 cents per mile, but was also raised as gas prices hit new heights.

You can deduct mileage if you use your car while helping out a charity. The rate, which can only be changed by Congress, will remain unchanged at 14 cents per mile.

 

Posted by Eileen Ambrose at 12:24 PM | | Comments (0)
Categories: Gas prices
        

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