On Dec. 29, 2022, the Internal Revenue Service issued via Notice 2023-03 the 2023 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, moving, and charitable purposes.
Exceptions for Moving Expenses:
The Tax and Jobs Act of 17 suspended the deduction for moving expenses for taxable years beginning after Dec. 31, 2017, and before Jan. 1, 2026, except for members of the Armed Forces on active duty who move pursuant to a military order and incident to a permanent change of station. Thus, except for taxpayers that are members of the Armed Forces, the standard mileage rate provided in Notice 2023-03 is not applicable for the use of an automobile as part of a move occurring during the suspension.
The Details:
As of Jan. 1, 2023, the standard mileage rates for the use of a car (including vans, pickups or panel trucks) will be:
· 65.5 cents per mile for business miles driven;
· 22 cents per mile driven for moving purposes;* and
· 14 cents per mile driven in service to a charitable organization.
*Applicable to members of the Armed Forces Only.
For a copy of Notice 2023-03 please click on the link provided below:
https://www.irs.gov/pub/irs-drop/n-23-03.pdf
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