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The IRS has released the 2026 standard mileage rates under Notice 2026-10. Learn the updated rates for business, medical, moving, and charitable use, and what the changes mean for taxpayers and organizations.
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2026 standard mileage rates
IRS Notice 2026-10
business mileage rate 2026
charitable mileage deduction
medical mileage rate 2026
tax deductions automobile expenses
Introduction
The IRS has announced the updated standard mileage rates for 2026, effective January 1, 2026, through IRS Notice 2026-10. These rates are used to calculate the deductible costs of operating an automobile for business, medical, moving, and charitable purposes.
While some rates increased slightly from 2025, others decreased, and one remains fixed by statute. Understanding these annual adjustments is important for taxpayers, employers, and nonprofit organizations to ensure accurate deductions, reimbursements, and compliance.
2026 Standard Mileage Rates Overview
Beginning January 1, 2026, the IRS standard mileage rates are as follows:
Business use:
72.5 cents per mile driven, an increase of 2.5 cents from 2025
Medical use:
20.5 cents per mile driven, a decrease of 0.5 cents from 2025
Moving expenses for qualified active-duty military members:
20.5 cents per mile driven, also down 0.5 cents from 2025
Charitable use:
14 cents per mile driven, unchanged from 2025
The charitable mileage rate is set by statute and does not adjust annually for inflation.
Business Mileage Rate Increase
The increase in the business mileage rate reflects rising vehicle operating costs, including fuel, maintenance, insurance, and depreciation. Taxpayers who use their personal vehicles for business purposes may deduct expenses using this standard rate instead of tracking actual costs.
Employers that reimburse employees using the IRS standard mileage rate can also rely on this figure for accountable plans without creating taxable income.
Medical and Moving Mileage Rate Decrease
The slight reduction in the medical and moving mileage rates reflects changes in nationwide transportation costs. These rates apply to:
Medical transportation for taxpayers who itemize deductions and meet applicable thresholds
Moving expenses for qualified active-duty members of the Armed Forces
Taxpayers should ensure they apply the correct rate depending on the purpose of travel.
Charitable Mileage Rate Remains Unchanged
The mileage rate for driving in service of charitable organizations remains at 14 cents per mile, unchanged from prior years. Unlike other mileage rates, this amount is fixed by law and does not increase with inflation.
Nonprofit organizations should continue using this statutory rate when advising volunteers or acknowledging mileage-based charitable contributions.
Why These Updates Matter
Annual mileage rate adjustments impact:
Individual and business tax deductions
Employee reimbursement policies
Recordkeeping and documentation requirements
Charitable contribution reporting
Using incorrect rates can result in under- or over-stated deductions and potential compliance issues.
Conclusion
The IRS’s release of the 2026 standard mileage rates provides updated guidance for taxpayers and organizations beginning January 1, 2026. While the business mileage rate increased, medical and moving rates declined slightly, and the charitable rate remains unchanged.
Taxpayers and nonprofit organizations should update internal policies, reimbursement practices, and tax planning strategies to reflect the new rates and ensure accurate reporting for the upcoming tax year.
