Is Mileage Tax Deductible?

Last updated: July 2026

It depends who you are. Two very different readers land here — here is the honest three-way answer:

Self-employed / sole proprietor / independent contractor — Yes. Business miles are deductible on Schedule C, using either the standard mileage rate or actual expenses (§162).
W-2 employee, unreimbursed — Generally no. §67(g) suspended the miscellaneous itemized deductions this used to fall under, and the One Big Beautiful Bill Act (P.L. 119-21) made that suspension permanent. Narrow above-the-line exceptions survive under §62(a)(2) (see below).
Employee reimbursed under an accountable plan — Nothing to deduct. The reimbursement isn't income and there is nothing left to claim — the correct answer for most employees, and one almost no page states.

This is an eligibility page: who can claim, and which miles count. For the amount, use the mileage calculator; for the method choice, see standard mileage vs actual expenses. Everything here is educational — an estimate, confirm with your tax professional.

Which miles count — the commuting line

Commuting — home to your regular workplace, and back — is neverdeductible. Not for employees, not for the self-employed. It is the single most common misconception on this topic, so it earns its own callout:

Driving from home to the place you regularly work is a personal commute. No one deducts it — however far it is.

Deductible business miles generally include:

  • Between job sites or client locations
  • To a temporary work location outside your metropolitan area
  • From a qualifying home office (your principal place of business) to any work location
  • To meet clients or suppliers, or to the bank for business

The home-office pivot. If you have a qualifying home office that is your principal place of business, the first trip of the day stops being a commute and becomes a business mile. For trades and consultants that single distinction changes the arithmetic materially.

Temporary work location. A location realistically expected to last — and actually lasting — one year or less. Go past a year and it becomes a regular workplace, and the trip reverts to commuting (Rev. Rul. 99-7).

TripDeductible?
Home → regular workplaceNo (commuting)
Job site → job siteYes
Home office → clientYes (with a qualifying home office)
Home → temporary site under a yearYes
Home → site lasting over a yearNo (now a regular workplace)

The two methods — and the fork you only pick once

If your miles are deductible, you claim them one of two ways: the standard mileage rate (cents per business mile) or actual expenses (the business-use share of fuel, insurance, repairs, and depreciation). The lock-in that matters: to keep the standard mileage rate available for a car you own, you generally must choose it in the first year the car is available for business use — start with actual expenses and depreciation and you cannot switch to standard mileage for that vehicle later.

That is the whole method question in one paragraph. The full comparison lives on standard mileage vs actual expenses, and the per-mile math on the mileage calculator. If a vehicle purchase is involved, the Section 179 vehicle deduction sits on the actual-expense side of this fork.

The 2026 rate is not one number

2026 is a split rate year in the US. A single 2026 return needs both rates, split by trip date — most ranking pages quote one 2026 figure and are simply wrong.

Jan 1 - Jun 30, 2026

72.5¢/business mile

IRS Notice 2026-10

Jul 1 - Dec 31, 2026

76¢/business mile

IRS Announcement 2026-11

The charitable rate stays fixed at 14¢ by statute (§170(i)); moving mileage is deductible only for active-duty military moves post-TCJA. For the current-year rate detail, see the 2026 IRS mileage rate guide.

Not in the US?

The question ranks internationally, and a US-only answer is wrong for a large share of readers.

  • United Kingdom. HMRC Approved Mileage Allowance Payments are 55p per mile for the first 10,000 business miles and 25p thereafter for the 2026/27 tax year (up from 45p, effective from 6 April 2026). UK employees can claim Mileage Allowance Relief on the shortfall where the employer pays below the approved rate — a materially better position than the US employee gets.
  • Canada. CRA per-kilometre allowance rates for 2026 are 73¢/km for the first 5,000 km and 67¢/km after (higher in the territories), and the employee-vs-self-employed treatment differs from the US. See the CRA mileage rate guide.

What you have to keep

Mileage is listed property under §280F(d)(4), so §274(d) strict substantiation applies: date, mileage, destination, business purpose. And unlike ordinary business expenses, the Cohan estimation rule does not rescue a missing mileage log. Blunt version: an undocumented mileage deduction is the most reliably disallowed deduction there is. A contemporaneous log beats a reconstructed one; a log rebuilt from calendar entries and job records beats nothing.

This is where spend capture earns its keep. ExpenseBot estimates the distance between your jobs using Google Maps and Google Calendar entries and captures the operating-cost receipts — fuel, repairs, insurance — from your Gmail into a Google Sheet you own, rolling it into a mileage log with a business-use percentage. It builds the record; the deduction method and the numbers on your return stay with you and your tax pro. See the mileage tracker for how the log comes together.

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Keep the log that makes the deduction stick

ExpenseBot builds your mileage log from Google Maps and Calendar and captures the fuel and repair receipts from Gmail — so the substantiation §274(d) demands exists all year, in a Google Sheet you own.

Frequently Asked Questions

Is mileage tax deductible?

For the self-employed, yes — business miles are deductible on Schedule C using the standard mileage rate or actual expenses. For W-2 employees, unreimbursed mileage is generally not deductible, with narrow above-the-line exceptions for Armed Forces reservists, qualified performing artists, fee-basis government officials, and impairment-related work expenses. If your employer reimburses you under an accountable plan, there is nothing to deduct. Estimates — confirm with your tax professional.

Is my commute to work tax deductible?

No. Travel between home and your regular workplace is commuting and is never deductible. The exception: if you have a qualifying home office that is your principal place of business, trips from there to other work locations are business miles. Estimates — confirm with your tax professional.

Can employees deduct mileage?

Generally not for unreimbursed mileage — §67(g) suspended the miscellaneous itemized deductions this used to fall under, and the One Big Beautiful Bill Act made that permanent. Reservists, qualified performing artists, fee-basis state/local officials, and impairment-related work expenses still have an above-the-line route under §62(a)(2). Estimates — confirm with your tax professional.

What's the mileage rate for 2026?

There are two. Miles driven 1 January to 30 June 2026 use 72.5¢ per business mile (IRS Notice 2026-10); miles driven on or after 1 July 2026 use 76¢ (IRS Announcement 2026-11). A 2026 return needs both, split by trip date. See the mileage calculator. Estimates — confirm with your tax professional.

Do I need a mileage log?

Yes. Vehicles are listed property under §280F(d)(4), which triggers §274(d) strict substantiation: date, mileage, destination, and business purpose. Mileage gets no benefit from the Cohan estimation rule — no log usually means no deduction. Estimates — confirm with your tax professional.

Is mileage deductible in the UK or Canada?

Both have their own systems. The UK uses HMRC Approved Mileage Allowance Payments (55p per mile for the first 10,000 business miles, 25p after, for 2026/27), and UK employees can claim Mileage Allowance Relief where the employer pays below the approved rate. Canada uses CRA per-kilometre rates (73¢ for the first 5,000 km, 67¢ after, for 2026). Estimates — confirm with your tax professional.

Can I switch between the standard rate and actual expenses?

Not freely. For a car you own, you generally have to choose the standard mileage rate in the first year the car is available for business use if you want it available later — starting with actual expenses and depreciation locks you out of standard mileage for that vehicle. See standard mileage vs actual expenses. Estimates — confirm with your tax professional.

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