IRS Standard Mileage Rate for 2023
As of the end of 2022, the IRS had not yet announced the 2023 IRS Standard Mileage Rate. The new rate has just been published.
For 2023, the rate is 65.5 cents per mile driven for business travel. This is an increase of 3 cents from the mid-year increase setting the rate for the second half of 2022. This 65.5-cent rate applies to electric and hybrid-electric automobiles, as well as gasoline and diesel-powered vehicles.
Reimbursement at the IRS Standard Mileage Rate is presumed by law to constitute payment in full for the business use of an employee’s personal vehicle (including fuel, insurance, maintenance, repairs, etc.). Therefore, employers are advised to always reimburse employees at this rate (or more, but not less) for all business-related mileage driven in the employee’s personal vehicle.
Update provided by Scott & Whitehead