The new rates for 2009 are 55 cents for business miles driven, 24 cents for medical or moving purposes, and 14 cents for miles driven performing charitable services.
IRS explanation follows:
The new rates for business, medical and moving purposes are slightly lower than rates for the second half of 2008 that were raised by a special adjustment mid-year in response to a spike in gasoline prices. The rate for charitable purposes is set by law and is unchanged from 2008.
The business mileage rate was 50.5 cents in the first half of 2008 and 58.5 cents in the second half. The medical and moving rate was 19 cents in the first half and 27 cents in the second half.
The mileage rates for 2009 reflect generally higher transportation costs compared to a year ago, but the rates also factor in the recent reversal of rising gasoline prices. While gasoline is a significant factor in the mileage rate, other fixed and variable costs, such as depreciation, enter the calculation.
Remember, you always have the option of calculating the actual costs of using your vehicle rather than using the standard mileage rates.
Unfortunately, the reverse is NOT true. You don’t always have the option to use the standard rates. If you use actual expenses in the first year of service for any particular vehicle, you ALWAYS have to use actual expenses for that same vehicle.
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