IRS Sets 2010 Mileage Rates

Effective Jan.1, 2010, the business mileage rate will be reduced to 50 cents per mile. The new rate for computing deductible medical or moving expenses will be reduced to 16.5 cents per mile. The rate for providing services for charitable organizations is set by statute, not the IRS, and remains at 14 cents per mile. The mileage rates for 2010 reflect generally lower transportation costs compared to a year ago. The standard mileage rate for business is based on an annual study of the fixed and variable costs of operating an automobile. See news release IR-2009-111 (www.irs.gov/newsroom/article/0,,id=216048,00.html) for more details