IRS INCREASES MILEAGE RATE

IRS INCREASES MILEAGE RATE TO 55.5 CENTS PER MILE (EFFECTIVE JULY 1, 2011)

In recognition of recent gasoline price increases, the Internal Revenue Service has increased the optional standard mileage rates for the final six months of 2011. The rate has increased 4.5 cents to 55.5 cents per mile for all business miles driven from July 1, 2011 through December 31, 2011. Taxpayers may use the optional standard rates to calculate the deductible costs of operating an automobile for business and other purposes. The rate for medical miles increased from 19 cents to 23.5 cents per mile.