New IRS business standard mileage rate set at 72.5 Cents per mile- up 2.5 Cents from 2025

RyanV
RyanV FreeTaxUSA Admin Posts: 39 image
edited December 2025 in Credits/Deductions

On Dec 29th the IRS updated the standard mileage rates for 2026. Rates apply to fully electric and hybrid automobiles, as well as gasoline and diesel-powered vehicles.

  • 72.5 cents per mile driven for business use, up 2.5 cents from 2025.
  • 20.5 cents per mile driven for medical purposes, down a half cent from 2025.
  • 20.5 cents per mile driven for moving purposes for certain active-duty members of the Armed Forces (and now certain members of the intelligence community), reduced by a half cent from last year.
  • 14 cents per mile driven in service of charitable organizations, equal to the rate in 2025.

For full details check out the IRS press release.

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