Business Standard Mileage Rate Decreases for 2017

Starting January 1, 2017. The Notice also provides the 2017 maximum standard automobile cost that may be used to compute the allowance under a fixed and variable rate (FAVR) plan.

Specifically, the standard mileage rates for the use of a car, van, pickup or panel truck will be:

• 53.5 cents per mile for business miles driven (down from 54 cents per mile in 2016);
• 17 cents per mile driven for medical or moving purposes (down from 19 cents in 2016); and
• 14 cents per mile driven in a passenger car in performing charitable services (set by law and unchanged).