Mileage Reimbursement Rate Increased for 2019
The Internal Revenue Service has announced that the mileage rate for the use of a personal vehicle for business has been increased by $0.035 cents to a total rate of $.058 per mile. For many employers, this is the rate that is used to reimburse employees who use their personal vehicle for business purposes. This rate increase took effect January 1, 2019, and should be used to reimburse an employee for business-related travel.
Under the new tax law, an employee cannot claim itemized deductions for unreimbursed employee travel expense so the reimbursement paid by the employer is the only way that employees will receive payment for the use of their personal vehicle.