The Internal Revenue Service (IRS) has announced the optional standard mileage rates for 2026, reflecting updated cost data and annual inflation adjustments. The mileage rate for business use of a vehicle increased, while the rate for medical and moving purposes decreased slightly.

2026 Standard Mileage Rates (Effective January 1, 2026)

• 72.5 cents per mile for business use (up 2.5 cents from 2025)
• 20.5 cents per mile for medical purposes (down 0.5 cents from 2025)
• 20.5 cents per mile for moving purposes for certain active-duty members of the Armed Forces and qualifying members of the intelligence community (down 0.5 cents from 2025)
• 14 cents per mile for charitable purposes (unchanged from 2025)

The standard mileage rates apply to gasoline, diesel, hybrid, and fully electric vehicles. Use of the standard mileage rate is optional. Taxpayers may instead calculate and deduct actual vehicle expenses.

The IRS issued Notice 2026-10, which includes the 2026 standard mileage rates, maximum automobile cost limits for reimbursement plans, and fair market value thresholds for employer-provided vehicles.