New 2008 Mileage Rates.

The Internal Revenue Service announced that in the final six months of 2008 the optional standard mileage rate has increased. All business miles driven from July 1, 2008 through December 31, 2008 will increase to 58.5 cents a mile. All business miles driven from January 1, 2008 through June 30, 2008 will remain at the 50.5 cents a mile. The IRS has made the increase of 8 cents a mile for the final six months of 2008 in recognition of the increasing gasoline prices.

The new six-month rate will also increase by 8 cents for medical and moving expenses. The new rate will increase to 27 cents a mile, up from 19 cents. The rate for providing services for charitable organizations will remain unchanged at 14 cents a mile.

Mileage Rate Changes