IRS Standard Mileage Rate 2025: How to Claim Vehicle Deductions
The 2025 IRS standard mileage rate is 70 cents per mile. Here's how to track qualifying trips, maintain a compliant mileage log, and decide whether the standard rate or actual expenses is better for you.
Jennifer Walsh
CPA, Tax Advisor
The IRS lets self-employed workers deduct business driving costs using either the standard mileage rate or actual vehicle expenses. For most freelancers, the standard rate is simpler and often yields a comparable or better deduction without requiring detailed fuel, insurance, and maintenance records.
2025 Standard Mileage Rates
- Business miles: 70 cents per mile
- Medical or moving miles: 21 cents per mile
- Charitable miles: 14 cents per mile
What Counts as a Business Mile
- Driving to meet clients or customers
- Travel between two business locations
- Driving to a temporary work location
- Business errands (post office, bank, supply store)
- NOT deductible: your regular commute from home to a fixed office
Mileage Log Requirements
The IRS requires a contemporaneous mileage log — meaning you record each trip at or near the time it happens. A log created months later from memory is not acceptable. Required entries: date of trip, starting location, destination, business purpose, and miles driven.
ReceiptOne's mileage tracker logs trips automatically and applies the current IRS rate — your log stays current without manual entry.
Standard Rate vs. Actual Expenses
Actual expenses (gas, insurance, registration, depreciation, maintenance — proportional to business use) can exceed the standard rate if you drive a fuel-efficient vehicle or have high fixed costs. However, actual expenses require far more recordkeeping. If you drive a lot of business miles in a high-cost vehicle, run the numbers both ways with your accountant.