Understanding the 2023 Texas Mileage Rates
If you are a state employee in Texas, a business owner, or an independent contractor tracking vehicle expenses for the 2023 tax year, understanding the correct mileage reimbursement rates is crucial. The Texas Comptroller of Public Accounts typically aligns state employee reimbursement rates with the standard mileage rates established by the Internal Revenue Service (IRS).
Official 2023 Mileage Rates
For the calendar year 2023 (January 1, 2023, through December 31, 2023), the standard mileage rates experienced an increase due to rising fuel and vehicle maintenance costs. The table below outlines the specific rates used for calculation:
| Purpose of Travel | Rate per Mile (2023) | Description |
|---|---|---|
| Business | 65.5 cents | Standard rate for business-related travel for state employees and tax deductions. |
| Medical / Moving | 22 cents | For qualified active-duty members of the Armed Forces (moving) and medical travel. |
| Charitable | 14 cents | Fixed by statute for miles driven in service of charitable organizations. |
How the Calculation Works
Calculating your reimbursement or deduction is a straightforward linear equation. You simply multiply the total number of qualified miles driven by the specific rate assigned to the purpose of your trip.
Formula: Total Miles × Rate per Mile = Total Reimbursement
For example, if a Texas state employee drove 100 miles for a business conference in Austin in July 2023:
- Miles: 100
- Rate: $0.655 (65.5 cents)
- Calculation: 100 × 0.655 = $65.50
Texas Comptroller Guidelines for State Employees
The Texas Comptroller's office (TexTravel) stipulates that mileage reimbursement is meant to cover all costs associated with the operation of a personally owned vehicle. This includes:
- Gasoline and oil
- Wear and tear (depreciation)
- Insurance and registration
- Maintenance and repairs
State employees should note that point-to-point mileage may be calculated via the Comptroller's online mileage guide or using the vehicle odometer, provided the route taken is reasonably direct.
Why Accurate Logging Matters
Whether you are filing a travel voucher with a state agency or claiming a deduction on your federal tax return, documentation is key. 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.
Use the calculator above to quickly estimate your reimbursement totals for your 2023 records.