Change in Standard Mileage Rate

The Internal Revenue Service (IRS) has changed the standard mileage rate for computing the value of business use of an automobile for 2006. The new rate for 2006 is 44.5 cents per mile as compared to the current, adjusted rate of 48.5 cents. This change will go into effect Jan. 1, 2006 and remain in effect for the calendar year 2006.

The one-time adjustment to 48.5 cents for the last four months of the year was in response to the increase in gasoline prices.

Read about the change in the standard mileage rate on the IRS website.