Acknowledging the recent spike in gas prices, the Internal Revenue Service has increased again the 2022 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, medical or moving purposes.
Effective July 1, the standard mileage rates for the use of a car, van, pickup or panel truck are:
- 62.5 cents per mile driven for business use (up 4 cents from the first half of 2022)
- 22 cents per mile driven for medical or moving purposes (up 4 cents from the first half of 2022)
- 14 cents per mile driven in service of charitable organizations (no change from the first half of 2022).
The IRS change does not affect the mileage rate for volunteers of the South Carolina Conference, which remains at 24 cents per mile.
The standard mileage rate for business use is based on an annual study of the fixed and variable costs of operating an automobile. The rate for medical and moving purposes is based on the variable costs.
Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.