IRS Increases 2026 Standard Mileage Rates

Published December 30, 2025

The Internal Revenue Service (IRS) has released Notice 2026-10 providing the 2026 standard mileage rates. Beginning January 1, 2026, the standard mileage rates for the use of a car (van, pickup or panel truck) will be:

  • 72.5 cents per mile driven for business, up from 70 cents from 2025.
  • 20.5 cents per mile driven for medical purposes, down from 21 cents 2025.
  • 20.5 cents per mile driven for moving purposes for certain active-duty members of the Armed Forces and certain members of the intelligence community, down from 21 cents 2025.
  • 14 cents per mile driven in service of charitable organizations, unchanged from 2025.
A taxpayer must use 35 cents per mile as the portion of the business standard mileage rate treated as depreciation.

$61,700 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. $61,700 is the maximum fair market value (FMV) of cars, trucks and vans first made available to employees for personal use (up from $61,200 in 2025).