Mileage Rate for 2023

Written By Jaylene Epperson

Effective January 1, 2023

The Optional Standard Mileage Rates have increased for the use of a car, van, pick-up or panel truck driven for business miles. This is a three-cent increase from the midyear rate * increase and a seven-cent increase from the rate set at the beginning of 2022.

2023 IRS mileage reimbursement rates for businesses, individuals, and other organizations are as follows:

  • 65.5 cents per mile driven for business use

  • 22 cents per mile driven for medical or moving purposes for qualified active-duty members of the Armed Forces

  • 14 cents per mile driven in service of charitable organizations

  • This increase applies to electric and hybrid-electric automobiles, as well as gasoline and diesel-powered vehicles.

*Because of the high prices in early and mid-2022, the IRS increased the optional standard mileage rate from July 1, 2022, to December 31, 2022. The IRS rarely makes a mid-year increase, with the last one taking place in 2011. This took place after House Democrats called on the Internal Revenue Service (IRS) to increase the mileage reimbursement rate. 

Jaylene Epperson
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