The IRS has once again raised the standard mileage rate, as stated in their Dec. 29 announcement. The new rate for 2023 business mileage is 65.5 cents, marking a 3-cent increase from the 2022 midyear adjustment which stood at 62.5 cents. This unusual midyear change in June 2022, added to the typical annual adjustment, was put into place to help mitigate the effects of increasing inflation and high fuel prices on workers.
Starting from Jan. 1, 2023, the standard mileage rate stands at:
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65.5 cents per mile for business-related driving.
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22 cents per mile for medical or relocation purposes for qualifying active-duty military members, mirroring the 2022 midyear increase.
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14 cents per mile for charitable services, as mandated by law and consistent with the 2022 rate.
These rates apply to all vehicles, whether they are powered by electricity, hybrid technology, gasoline, or diesel.
