IRS Announces 2017 Standard Mileage Rates

Running a little later than usual, the Internal Revenue Service recently issued the revised standard mileage rate which is used to calculate the deductible costs of operating an automobile for business purposes during 2017.

Beginning January 1, 2017, the standard mileage rate for the use of a car for business purposes will be 53.5 cents per mile for business miles driven – a decrease of 0.5 cents per mile from the 2016 rate.

While the lower price of gasoline is a significant factor in the mileage rate, other fixed and variable costs, such as depreciation, enter the calculation. The standard mileage rate is based on an annual study of the fixed and variable costs of operating an automobile.

Churches that follow an accountable reimbursement plan should use the new rate to budget expenses for next year.

About benefitsboard

Art Rhodes is the President and CEO of the Church of God Benefits Board, Inc. - the administrator of the Ministers' Retirement Plan and the Church Loan Fund, Inc. The corporate offices of the Benefits Board are in Cleveland, TN.
This entry was posted in 12 - December 2016. Bookmark the permalink.

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