Government Mileage Rate 2023 Calculator

2023 IRS Mileage Deduction Calculator

Calculate your reimbursement or tax deduction based on the official 2023 IRS rates.

function calculateDeduction() { // Get input values, default to 0 if empty or invalid var bMiles = document.getElementById('businessMiles').value; var mMiles = document.getElementById('medicalMiles').value; var cMiles = document.getElementById('charityMiles').value; // Parse numbers var businessMiles = parseFloat(bMiles); var medicalMiles = parseFloat(mMiles); var charityMiles = parseFloat(cMiles); // Handle NaN if (isNaN(businessMiles)) businessMiles = 0; if (isNaN(medicalMiles)) medicalMiles = 0; if (isNaN(charityMiles)) charityMiles = 0; // Official 2023 IRS Rates var rateBusiness = 0.655; // 65.5 cents var rateMedical = 0.22; // 22 cents var rateCharity = 0.14; // 14 cents // Calculate totals var valBusiness = businessMiles * rateBusiness; var valMedical = medicalMiles * rateMedical; var valCharity = charityMiles * rateCharity; var valTotal = valBusiness + valMedical + valCharity; // Format Currency var formatter = new Intl.NumberFormat('en-US', { style: 'currency', currency: 'USD', }); // Update DOM document.getElementById('resBusiness').innerHTML = formatter.format(valBusiness); document.getElementById('resMedical').innerHTML = formatter.format(valMedical); document.getElementById('resCharity').innerHTML = formatter.format(valCharity); document.getElementById('resTotal').innerHTML = formatter.format(valTotal); // Show results document.getElementById('resultsArea').style.display = 'block'; }

Understanding the 2023 Government Mileage Rates

The Internal Revenue Service (IRS) updates the standard mileage rates annually. These rates are used to calculate the deductible costs of operating an automobile for business, charitable, medical, or moving purposes. For the 2023 tax year, the IRS announced adjustments to account for fuel costs and inflation.

Official 2023 IRS Mileage Rate Table

Category	Rate Per Mile (2023)	Application
Business	65.5 cents	Self-employed individuals, freelancers, and business owners.
Medical	22 cents	Travel primarily for and essential to medical care.
Moving	22 cents	Only for qualified active-duty members of the Armed Forces.
Charitable	14 cents	Driving in service of a charitable organization (volunteer work).

How to Use This Calculator

This calculator helps you estimate your total tax deduction or employer reimbursement amount for the 2023 tax year. To get an accurate result:

1. Review your mileage log: Ensure you have recorded the date, purpose, and total miles for every trip taken in 2023.
2. Categorize trips: Separate your miles into Business, Medical/Moving, and Charitable buckets. Note that commuting from home to your regular place of work is generally not deductible.
3. Enter data: Input the total miles for each category into the fields above.
4. Calculate: Click the button to see the dollar value associated with your mileage.

Important Rules for 2023 Returns

When claiming the standard mileage deduction on your 2023 tax return (typically filed in early 2024), documentation is key. The IRS requires you to substantiate your mileage. A compliant mileage log should include:

• The date of the trip.
• The starting point and destination.
• The business purpose of the trip.
• The total miles driven.

If you use the standard mileage rate for a year, you cannot deduct actual car expenses (like gas, insurance, and repairs) for that same vehicle. You generally must choose between the Standard Mileage Rate method and the Actual Expenses method. The Standard Mileage Rate is often simpler and requires less detailed receipt keeping for vehicle maintenance.

Changes from Previous Years

The 2023 business rate of 65.5 cents per mile represents an increase of 3 cents from the rate set for the second half of 2022. This adjustment was made to better reflect the cost of vehicle ownership and operation in the economic climate of 2023.