IRS Mileage rate FAQs

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What is current mileage rate for 2009 and 2010 tax years?

  IRS mileage rate 2009 IRS mileage rate 2010
IRS Mileage - Business 55 50
IRS Mileage - Medical/Moving 24 16.5
IRS Mileage - Charitable 14 14

Which trips are deductible?

IRS mileage may be deducted for trips made for business purposes. Talk to your tax professional about the details but generally speaking, the commute from your office to your a work- related errand or meeting is deductible. It is also deductible if you have a home office. See IRS publication 463 for information.

http://www.irs.gov/publications/p463/index.html

What travel expenses are deductible?

If you deduct travel, entertainment, gift, or transportation expenses, you must be able to prove certain elements of the expense. For more detailed informaiton see IRS publication 463 below.

http://www.irs.gov/publications/p463/ch05.html#d0e6290

What are adequate records?

A daily record of some kind such as an account book, diary, or similar record is required as well as its documentary evidence such as receipts, canceled checks, or bills. Exceptions: Documentary evidence is not needed if your expense, other than lodging, is less than $75 or for expenses where a receipt is not readily available e.g. like a parking meter.

How to prove expenses Recordkeeping (IRS Publication 463) http://www.irs.gov/publications/p463/ch05.html
Recordkeeping (IRS Topic 305) http://www.irs.gov/taxtopics/tc305.html

What is IRS mileage rate for 2008 tax year?

  IRS mileage rate 2008
(Jan to June)
IRS mileage rate 2008
(July to Dec)
IRS Mileage -Business 50.5 58.5
IRS Mileage -Medical/Moving 19 27
IRS Mileage -Charitable 14 14

What is the IRS mileage rate for 2007 and later tax years?

Historical IRS MIleage rates: http://www.irs.gov/taxpros/article/0,,id=156624,00.html

Best small business tax resource publications:

"Tax Savvy for Small Business" by Tax Attorney Frederick W. Daily is a Nolo Press classic. It is updated every year to be your easy to understand guide to the current tax code. But don't take just OUR word for it the Washington Post says "This book is one of the best plan-language books on small-business taxes" It was also named a "Top Tax Book" by Entrepreneur Magazine. http://www.nolo.com/products/tax-savvy-for-small-business-SAVVY.html

Other IRS reference publications for mileage rate:

Travel, Entertainment, Gift, and Car Expenses -(IRS Publication 463) - http://www.irs.gov/publications/p463/index.html

Car and Truck Expenses (IRS Publication 583) http://www.irs.gov/publications/p583/ar02.html#d0e1688

Business Use of Car (IRS Topic 510)http://www.irs.gov/taxtopics/tc510.html