[OSSSA218] IRS Increases Mileage Rate to 55.5 Cents per Mile for last half 2011

[Karen PARK]

FYI .... 

Karen Park
State Social Security Coordinator
Oregon PERS
503 603-7633
karen.park at state.or.us

SL2
>>> Marshall KayDel D <KayDel.Marshall at irs.gov> 06/23/11 9:20 AM >>>
Having trouble viewing this email? View it as a Web page<http://content.govdelivery.com/bulletins/gd/USIRS-96907>.

[Bookmark and Share]<http://api.addthis.com/oexchange/0.8/offer?url=http://content.govdelivery.com/bulletins/gd/USIRS-96907&username=govdprod&title=IR-2011-69:%20%20IRS%20Increases%20Mileage%20Rate%20to%2055.5%20Cents%20per%20Mile&pubid=@GovDelivery>

[IRS.gov Banner]
IRS Newswire    June 23, 2011

News Essentials

What's Hot<http://www.irs.gov/newsroom/article/0,,id=97322,00.html>

News Releases<http://www.irs.gov/newsroom/content/0,,id=104345,00.html>

IRS - The Basics<http://www.irs.gov/newsroom/article/0,,id=98248,00.html>

IRS Guidance<http://www.irs.gov/newsroom/article/0,,id=98257,00.html>

Media Contacts<http://www.irs.gov/newsroom/article/0,,id=97242,00.html>

Facts & Figures<http://www.irs.gov/newsroom/article/0,,id=98357,00.html>

Problem Alerts<http://www.irs.gov/newsroom/article/0,,id=98129,00.html>

Around The Nation<http://www.irs.gov/newsroom/article/0,,id=98936,00.html>

e-News Subscriptions<http://www.irs.gov/newsroom/content/0,,id=103381,00.html>

________________________________
The Newsroom Topics

Electronic IRS Press Kit<http://www.irs.gov/pub/irs-news/electronic_irs_press_kit.pdf>

Tax Tips 2009<http://www.irs.gov/newsroom/content/0,,id=104608,00.html>

Radio PSAs<http://www.irs.gov/newsroom/article/0,,id=133623,00.html>

Fact Sheets<http://www.irs.gov/newsroom/content/0,,id=104575,00.html>

Armed Forces<http://www.irs.gov/newsroom/article/0,,id=97273,00.html>

Disaster Relief<http://www.irs.gov/newsroom/article/0,,id=108362,00.html>

Scams / Consumer Alerts<http://www.irs.gov/newsroom/article/0,,id=98269,00.html>

Tax Shelters<http://www.irs.gov/newsroom/article/0,,id=110172,00.html>

More Topics..<http://www.irs.gov/newsroom/topic/index.html>

________________________________
IRS Resources

Compliance & Enforcement<http://www.irs.gov/compliance/index.html>

Contact My Local Office<http://www.irs.gov/localcontacts/index.html>

e-file<http://www.irs.gov/efile/index.html>

Forms & Pubs<http://www.irs.gov/formspubs/index.html>

Frequently Asked Questions<http://www.irs.gov/faqs/index.html>

News<http://www.irs.gov/newsroom/index.html>

Taxpayer Advocacy<http://www.irs.gov/advocate/index.html>

Where to File<http://www.irs.gov/file/index.html>

________________________________

Issue Number:    IR-2011-69
Inside This Issue
________________________________

IRS Increases Mileage Rate to 55.5 Cents per Mile

WASHINGTON - The Internal Revenue Service today announced an increase in the optional standard mileage rates for the final six months of 2011. Taxpayers may use the optional standard rates to calculate the deductible costs of operating an automobile for business and other purposes.

The rate will increase to 55.5 cents a mile for all business miles driven from July 1, 2011, through Dec. 31, 2011. This is an increase of 4.5 cents from the 51 cent rate in effect for the first six months of 2011, as set forth in Revenue Procedure 2010-51.
In recognition of recent gasoline price increases, the IRS made this special adjustment for the final months of 2011. The IRS normally updates the mileage rates once a year in the fall for the next calendar year.

"This year's increased gas prices are having a major impact on individual Americans. The IRS is adjusting the standard mileage rates to better reflect the recent increase in gas prices," said IRS Commissioner Doug Shulman. "We are taking this step so the reimbursement rate will be fair to taxpayers."

While gasoline is a significant factor in the mileage figure, other items enter into the calculation of mileage rates, such as depreciation and insurance and other fixed and variable costs.

The optional business standard mileage rate is used to compute the deductible costs of operating an automobile for business use in lieu of tracking actual costs. This rate is also used as a benchmark by the federal government and many businesses to reimburse their employees for mileage.

The new six-month rate for computing deductible medical or moving expenses will also increase by 4.5 cents to 23.5 cents a mile, up from 19 cents for the first six months of 2011. The rate for providing services for charitable organizations is set by statute, not the IRS, and remains at 14 cents a mile.

The new rates are contained in Announcement 2011-40<http://www.irs.gov/pub/irs-drop/a-11-40.pdf> on the optional standard mileage rates.

Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates.

Mileage Rate Changes

Purpose


Rates 1/1 through 6/30/11


  Rates 7/1 through 12/31/11


Business


51


55.5


  Medical/Moving


19


23.5


Charitable


14


14


Back to Top

________________________________

Thank you for subscribing to the IRS Newswire, an IRS e-mail service.

If you know someone who might want to subscribe to this mailing list, please forward this message to them so they can subscribe<http://www.irs.gov/newsroom/article/0,,id=154805,00.html>.

This message was distributed automatically from the mailing list IRS Newswire. Please Do Not Reply To This Message.


[Bookmark and Share]<http://api.addthis.com/oexchange/0.8/offer?url=http://content.govdelivery.com/bulletins/gd/USIRS-96907&username=govdprod&title=IR-2011-69:%20%20IRS%20Increases%20Mileage%20Rate%20to%2055.5%20Cents%20per%20Mile&pubid=@GovDelivery>

________________________________

Update your subscriptions, modify your password or email address, or stop subscriptions at any time on your Subscriber Preferences Page<https://public.govdelivery.com/accounts/USIRS/subscriber/new?preferences=true>. You will need to use your email address to log in. If you have questions or problems with the subscription service, please contact support at govdelivery.com<mailto:support at govdelivery.com>.

This service is provided to you at no charge by the Internal Revenue Service (IRS)<http://www.irs.gov/>.

________________________________
This email was sent to kaydel.marshall at irs.gov by: Internal Revenue Service (IRS) * Internal Revenue Service * 1111 Constitution Ave. N.W. * Washington DC 20535        [Powered by GovDelivery] <http://www.govdelivery.com/portals/powered-by>