2026 tax year
Mileage deduction calculator
2026 has two mileage rates, not one, miss the July change and you shortchange yourself.
The IRS standard mileage rate lets you deduct a flat amount per business mile instead of tracking actual car costs. For 2026 there are two rates: 72.5¢ a mile through June 30, then 76¢ from July 1 (Notice 2026-10 and Announcement 2026-11). A full calendar year must be split at that date, so this asks for your miles in each half.
Rate: 72.5¢ per mile.
Rate: 76.0¢ per mile.
Enter your business miles for each half of the year.
Worked example, 12,000 miles, split evenly
Drive 6,000 business miles in each half of 2026:
| Period | Miles | Rate | Deduction |
|---|---|---|---|
| Jan 1 - Jun 30 | $6,000 | 72.5¢ | $4,350 |
| Jul 1 - Dec 31 | $6,000 | 76.0¢ | $4,560 |
| Total | $12,000 | 74.25¢ blended | $8,910 |
That is $8,910. Using only the old 72.5¢ rate for the whole year would give $8,700, $210 less. On 12,000 miles the mid-year change is real money, and calculators that haven't updated will understate the second half of the year.
Questions
What is the 2026 standard mileage rate?
72.5 cents per business mile for miles driven January 1 through June 30, and 76 cents from July 1 through December 31 (IRS Notice 2026-10, raised by Announcement 2026-11). Medical and moving miles are 20.5¢ then 23.5¢; charitable miles stay at 14¢, set by statute.
Standard mileage or actual expenses, which is better?
Whichever deducts more. The standard rate is simpler and usually wins for fuel-efficient cars driven a lot; the actual-expense method (gas, insurance, depreciation, repairs × business-use percentage) can win for expensive or thirsty vehicles. Compare with the vehicle cost calculator.
Can I switch methods between years?
Only in one direction for a given car. If you use actual expenses with accelerated depreciation (MACRS, Section 179, bonus) the first year, you can never use the standard rate on that vehicle. If you start with the standard rate, you can usually switch to actual later. Choose the first year carefully.
Do I still need a mileage log?
Yes, the standard rate does not remove the record-keeping. You need a contemporaneous log of business miles: date, purpose, distance. An app that tracks trips automatically is the practical way, and it is what backs up the deduction if the IRS asks.
Related tools
- Vehicle cost calculator standard vs actual expenses
- Gig income calculator mileage in your per-hour pay
- Deductions checklist
Deduction estimate for the 2026 tax year. It reduces taxable profit, not your tax dollar for dollar. Not tax advice.