What Is the Official IRS Mileage Rate History?
Gain insight into the methodology behind the IRS standard mileage rates, tracing their historical fluctuations and the cost data that drives adjustments.
The Internal Revenue Service (IRS) provides an optional standard mileage rate for taxpayers to calculate the deductible costs of operating a vehicle for specific purposes. This method is an alternative to tracking all actual car expenses. Taxpayers can use these rates to figure deductions for using a vehicle for business, charitable, medical, or moving purposes. The IRS periodically updates these rates to reflect the changing costs associated with operating a vehicle.
Historical Standard Business Mileage Rates
The standard mileage rate for business use is the most frequently adjusted of the optional rates provided by the IRS. It is intended to simplify record-keeping for self-employed individuals and businesses. Instead of tracking every vehicle-related expense, taxpayers can multiply their business miles by the applicable rate.
Below are the standard business mileage rates for the past two decades:
- 2025: 70.0 cents per mile
- 2024: 67.0 cents per mile
- 2023: 65.5 cents per mile
- 2022: 62.5 cents (July-Dec); 58.5 cents (Jan-June)
- 2021: 56.0 cents per mile
- 2020: 57.5 cents per mile
- 2019: 58.0 cents per mile
- 2018: 54.5 cents per mile
- 2017: 53.5 cents per mile
- 2016: 54.0 cents per mile
- 2015: 57.5 cents per mile
- 2014: 56.0 cents per mile
- 2013: 56.5 cents per mile
- 2012: 55.5 cents per mile
- 2011: 55.5 cents (July-Dec); 51.0 cents (Jan-June)
- 2010: 50.0 cents per mile
- 2009: 55.0 cents per mile
- 2008: 58.5 cents (July-Dec); 50.5 cents (Jan-June)
- 2007: 48.5 cents per mile
- 2006: 44.5 cents per mile
- 2005: 48.5 cents (Sept-Dec); 40.5 cents (Jan-Aug)
On rare occasions, the IRS has issued mid-year adjustments to the business mileage rate. These updates are triggered by significant changes in national fuel prices. For instance, in 2008, a spike in gas prices led the IRS to increase the rate from 50.5 to 58.5 cents per mile for the second half of the year. A similar situation occurred in 2011, when the rate was raised from 51 to 55.5 cents per mile starting on July 1.
In response to soaring fuel costs in 2022, the IRS announced a mid-year increase through Announcement 2022-13. The rate for the first six months was 58.5 cents per mile, and it was increased to 62.5 cents per mile for the final six months of the year.
Historical Rates for Other Purposes
Beyond business use, the IRS provides standard mileage rates for medical, moving, and charitable purposes. These rates have their own distinct histories and are determined differently.
Medical and Moving Rates
For many years, the standard mileage rates for medical and moving purposes were identical. Taxpayers could deduct the costs of operating their vehicle to obtain medical care or for certain job-related moves.
A change occurred with the passage of the Tax Cuts and Jobs Act of 2017 (TCJA). This legislation suspended the moving expense deduction for most taxpayers from 2018 through 2025. An exception exists for active-duty members of the U.S. Armed Forces who are moving pursuant to a military order. For this limited group, the moving mileage rate remains applicable, while the medical mileage rate continues to be available for all eligible taxpayers.
Below are the historical rates for medical and moving purposes:
- 2025: 21.0 cents per mile
- 2024: 21.0 cents per mile
- 2023: 22.0 cents per mile
- 2022: 22.0 cents (July-Dec); 18.0 cents (Jan-June)
- 2021: 16.0 cents per mile
- 2020: 17.0 cents per mile
- 2019: 20.0 cents per mile
- 2018: 18.0 cents per mile
- 2017: 17.0 cents per mile
- 2016: 19.0 cents per mile
- 2015: 23.0 cents per mile
- 2014: 23.5 cents per mile
- 2013: 24.0 cents per mile
- 2012: 23.0 cents per mile
- 2011: 23.5 cents (July-Dec); 19.0 cents (Jan-June)
Charitable Rate
The standard mileage rate for charitable purposes is set by federal statute and has been fixed at 14 cents per mile for over two decades. This rate is for the use of a vehicle while performing services for a qualified charitable organization. Because it requires an act of Congress to change, it does not undergo the same annual review as the business and medical rates and does not fluctuate with operating costs.
How the IRS Determines the Rates
The process for setting the standard mileage rates for business, medical, and moving purposes involves a detailed annual analysis of vehicle operating costs. The IRS retains an independent third-party contractor to perform a study of the costs associated with owning and operating an automobile in the United States.
This annual study examines both the variable and fixed costs of vehicle operation. Variable costs are those that change with the number of miles driven and include the price of gasoline and oil. Fixed costs are expenses that do not change based on mileage, such as insurance, registration fees, and depreciation.
The business rate calculation incorporates both fixed and variable cost components. In contrast, the rates for medical and moving purposes are based only on the variable costs, primarily fuel and oil. This is why the medical and moving rates are consistently lower than the business rate. The data from this independent study forms the basis for the IRS’s annual rate announcement, released in December for the following year.