Business Mileage Tax Deduction

With the 2024 IRS mileage rate, you can claim $0.67 per mile for business-related driving. The IRS mileage rate for 2023 is $0.655 per mile, applicable from January 1, 2023, until December 31, 2023.

When using the standard mileage rate, you can also claim parking and toll costs for your business-related trips (e.g. when visiting clients or driving from your main office to a temporary workplace). Trips between your home and a regular workplace are considered a commute and are generally non-deductible. There are a few exceptions that allow you to deduct mileage while driving from your home: If you drive to and from a temporary workplace; if your home is your regular workplace, and you drive to another workplace or if you drive to a temporary workplace outside your metropolitan area.

The IRS classifies the following trips as tax-deductible:

Driving between two different workplaces

Driving from your home to a temporary workplace (a workplace is generally defined as temporary if you expect to work there for less than one year)

Meeting clients and visiting customers

Running business-related errands

The types of trips that aren’t considered business (but you still might need a record of, see below for record-keeping):

Commuting to and from your home to your permanent workplace

Commuting to and from your home to a second workplace