Mileage deduction calculator

What is the mileage deduction?

If you use your own car for your business, you can deduct the cost of the business miles. The easy way is the IRS standard mileage rate: a fixed amount for each business mile that covers gas, wear, insurance and depreciation. You keep a log of your miles and multiply.

The 2026 rates

The IRS set the 2026 business rate at 72.5 cents a mile. In July it raised the rate to 76 cents for driving on or after July 1, because fuel prices went up. So for 2026 you need two totals: miles before July 1 and miles from July 1.

Which trips count

• Count: drives to meet clients, to suppliers, to the bank or post office for the business, between two work locations, and to temporary work sites.
• Do not count: commuting from home to your regular place of business, personal errands, and the personal part of a mixed trip.
• Home office: if your home is your main place of business, drives from home to other business places usually count. See the home office deduction calculator.

Standard rate or actual costs

You can instead deduct the business share of your actual car costs: gas, oil, repairs, tires, insurance, registration, lease payments and depreciation. It takes more records and can give more for a costly car with few miles. For a car you own, choose the standard rate in the first year you use the car for business if you may want it later; you can then switch to actual costs in a later year, but you must then use straight-line depreciation for that car. For a leased car, if you choose the standard rate you must use it for the whole lease. You cannot use the standard rate for five or more cars at the same time.

Keep a log as you go

The IRS can ask for proof. Write down the date, the place, the business reason and the miles for each trip, at or near the time. A phone note or a mileage app is fine. Record your odometer on January 1 and December 31 too.

Where it goes

Sole proprietors and single-member LLCs put the total on Schedule C, line 9 (car and truck expenses), and answer the vehicle questions in Part IV. Not sure where other costs go? Try Which Schedule C line?

Frequently asked questions