Revised Standard Mileage Rates for 2012
Recently, the Internal Revenue Service (IRS) released the standard mileage rates for use in 2012. Taxpayers can use these rates to calculate the deductible costs of operating an automobile. Currently, the rate for business use of an automobile is 55.5 cents per mile. For medical or moving expenses, the rate is 23 cents per mile, and for services to charitable organization it is 14 cents per mile. Taxpayers may choose to not use the standard mileage rates and instead claim actual costs. However, to do so they must be able to substantiate their expenses by maintaining adequate records. For more information, please visit the American Institute of CPAs.
*To ensure compliance with requirements imposed by the IRS, we inform you that any U.S. federal tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or (ii) promoting, marketing or recommending to another party any transaction or tax related matter.