2010 Standard Mileage Rate

December 2009

2010 Standard mileage rates

(1) Business - 50 cents per mile

(2) Charitable contribution - 14 cents per mile

(3) Medical and moving - 16.5 cents per mile

Revenue Procedure 2009-54 (http://www.irs.gov/pub/irs-drop/rp-09-54.pdf)  updates Rev. Proc. 2008-72, 2008-2 C.B. 1286, and provides optional standard mileage rates for taxpayers to use in computing the deductible costs of operating an automobile for business, charitable, medical, or moving expense purposes.  This revenue procedure also provides rules under which the amount of ordinary and necessary expenses of local travel or transportation away from home that are paid or incurred by an employee are deemed substantiated under § 1.274-5 of the Income Tax Regulations if a payor (an employer, its agent, or a third party) provides a mileage allowance under a reimbursement or other expense allowance arrangement.

Procedure 2009-54 will be in Internal Revenue Bulletin 2009-51, dated December 21, 2009.