Tax-deductible mileage rate
Depends. Mileage rates vary by country and year. A mileage rate is a per-mile (or per-kilometer) amount used to calculate deductible business driving in certain situations.
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On this page: Short answer · When it applies · When it doesn’t · Example · Records · Related · FAQ
Short answer
Depends. The tax-deductible mileage rate depends on your country and the tax year. When a mileage rate applies, you multiply your documented business miles by the official rate to estimate a deductible amount.
Even with a mileage rate, you generally still need a mileage log that documents business miles and purpose.
When it’s more likely deductible
- You have documented business miles (logbook/app) with dates, destinations, and purpose
- Your situation allows using a per-mile/per-km rate rather than actual expenses
- You apply the rate consistently to business mileage for the eligible period
- You keep supporting documents (calendar, invoices, job details) that align with trips
When it’s not deductible (or risky)
- You include commuting or personal driving in business mileage
- You don’t keep a mileage log or can’t explain trip purpose
- You use an unofficial rate or the wrong year’s rate
- You apply a rate when your situation requires an actual-expense method (or vice versa)
Example
Example: mileage rate calculation
- Business miles (documented): 1,200
- Applicable mileage rate: (varies by year/location)
- Deductible amount: business miles × official rate
Use the official rate for your tax year and keep the mileage log that supports your miles.
What records to keep
- Mileage log (date, destination, business purpose, distance/odometer)
- The official rate source for the relevant year (save a link/screenshot/PDF)
- Supporting documents that match trips (appointments, invoices, job site info)
- If you also claim vehicle expenses elsewhere: related receipts as applicable
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Tools that can help
Mileage apps can help track business miles and export logs, which you need even when using a mileage rate.
FAQ
What is the tax-deductible mileage rate?
It depends. Mileage rates vary by country and year. A mileage rate is a per-mile (or per-kilometer) amount used to calculate a deductible business travel amount in certain situations.
Do I still need a mileage log if I use a mileage rate?
Usually yes. Even when a mileage rate is used, you generally need records of business miles (dates, destinations, and business purpose) to support the claim.
Where do I find the current mileage rate?
Check your tax authority’s current-year guidance for the official rate and eligibility rules. Rates can change by year and sometimes mid-year.
Looking for related deductible expenses? ← See Is mileage tax deductible?
Last reviewed: January 2026