(1) computes the deductible costs of five or more vehicles he or she owns or uses simultaneously in the business (such as fleet operations); (2) is leasing the vehicle and doesn't use either the standard mileage rate
or a fixed and variable rate allowance for the entire lease; (3) claimed depreciation other than straight-line; or (4) is a rural mail carrier working for the United States Postal Service who receives qualified reimbursements.
The Internal Revenue Service issued the 2017 optional standard mileage rates
used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes.
>> Standard mileage rate
: For 2013, the standard mileage rate
for the cost of operating your car, van, pickup or panel truck for each mile of business use is 56.5 cents per mile.
* Payment of the full standard mileage rate
when staff are required to attend training courses or events away from their normal base
The IRS reminds us that taxpayers have the option of calculating actual costs of using their vehicle rather than using the standard mileage rates
. A taxpayer may not use the business standard mileage rate
for a vehicle after using any depreciation method under the Modified Accelerated Cost Recovery System, or after claiming a Section 179 expensing deduction for that vehicle.
Some staff would also lose the car linked to their position and be instead paid a standard mileage rate
for using their own vehicle on council business.
* Standard mileage rate
. The standard mileage rate
for the cost of operating your car for business use in 2009 is 55 cents a mile.
A taxpayer may use the standard mileage rate
method for an automobile that is leased in lieu of deducting all business operating and fixed costs (including lease payments).
Also, the standard mileage rate
cannot be used to value the use of any "luxury car" subject to the depreciation limitations of Code Section 280F.
The standard mileage rate
for claims by councillors is just over 50p per mile.
There generally are two methods to figure deductible expenses: standard mileage rate
(for 2005, the Internal Revenue Service set this at 40.5 cents per mile); and actual car expenses (such as gas and oil, cleaning, waxing, insurance, depreciation, repairs, and maintenance).
Individuals who use their vehicles for business can deduct a standard mileage rate
for such use.