IRS Increases Mileage Rates

The IRS recently released this new press release announcing that they have increase the standard mileage rates as gas prices continue to skyrocket. According to the release, the rate will increase to 58.5 cents a mile for all business miles driven from July 1, 2008, through Dec. 31, 2008. This is an increase of 8 cents from the 50.5 cent rate in effect for the first six months of 2008.

"Rising gas prices are having a major impact on individual Americans. Given the increase in prices, the IRS is adjusting the standard mileage rates to better reflect the real cost of operating an automobile," claims IRS Commissioner Doug Shulman. "We want the reimbursement rate to be fair to taxpayers."