How Many Cents Per Mile Can I Deduct on My Taxes?

by Mark Kennan, studioD

The Internal Revenue Service allows taxpayers to claim deductions for different miles that they drive during the year. The amount of the deduction depends on the reason for driving, and not all miles are deductible. In addition, the amount per mile changes each year as the cost of gasoline and car maintenance changes.

Business Miles

The IRS offers the highest per mile deduction for business miles. Business miles refer to trips taken as part of your employment. However, driving to and from your place of work does not count as business mileage for employees. As of 2010, each business mile driven results in a $0.50 per mile deduction. If you are self-employed, you can write off this amount when you file Schedule C, which is your self-employment income worksheet. If you are a regular employee, you can only claim a deduction for business miles as a miscellaneous deduction if you itemize your deductions.

Charitable Miles

The IRS also lets you claim a deduction for driving to and from charitable activities. For example, if you drive meals to homebound individuals, you could write off those miles as a charitable donation. As of 2010, each charitable mile results in a $0.14 deduction. To claim this deduction, you have to itemize your deductions using Schedule A.

Medical Miles

As part of the medical expenses deduction, you can deduct costs for mileage driven for medical care. As of 2010, each mile driven for medical care results in a 16.5-cent deduction. The medical expenses deduction allows you to write off medical expenses that you pay that exceed 7.5 percent of your adjusted gross income, but only if you itemize your deductions on Schedule A.

Moving Miles

If you move during the year to take a new job, you can take a deduction for the miles you drove from your old home to your new home. As of 2010, each moving mile equals a 16.5-cent deduction. In order to qualify for the moving miles deduction, your new job must be at least 50 miles farther from your old home than your old job. In addition, you must work at least 39 weeks out of the first 12 months that you are in your new location. The moving expenses deduction is an adjustment to income, which means you can claim it even if you do not itemize your deductions.

About the Author

Mark Kennan is a writer based in the Kansas City area, specializing in personal finance and business topics. He has been writing since 2009 and has been published by "Quicken," "TurboTax," and "The Motley Fool."

Photo Credits

  • Jupiterimages/Comstock/Getty Images