IRS Increases 2024 Standard Mileage Rates

Published December 19, 2023

The Internal Revenue Service (IRS) has released Notice 2024-08 providing the 2024 standard mileage rates. Beginning January 1, 2024, the standard mileage rates for the use of a car (van, pickup or panel truck) will be:

  • 67 cents per mile driven for business, up from 65.5 cents in 2023
  • 21 cents per mile driven for medical or moving purposes, a decrease of 1 cent from 2023
  • 14 cents per mile driven in service of charitable organizations, unchanged from 2023
Beginning January 1, 2024:
  • A taxpayer must use 27 cents per mile as the portion of the business standard mileage rate treated as depreciation.
  • $62,000 is maximum standard automobile cost that may be used in computing the allowance under a fixed and variable rate (FAVR) plan.
  • For employer-provided vehicles, employers may use the fleet-average valuation rule or the vehicle cents-per-mile valuation rule. $62,000 is the maximum fair market value (FMV) of cars, trucks and vans first made available to employees for personal use (up from $60,800 in 2023).