IRS Announces 2008 Per-Mile Business Driving Rate

November 28, 2007

The Internal Revenue Service (IRS) has announced the national per-mile business driving rate of 50.5 cents for the U.S. taxpayer, effective January 1, 2008. This compares to a rate of 48.5 cents-per-mile during 2007.

"The increase in the 2008 national per-mile rate reflects a combination of factors, including higher fuel prices, rising insurance costs, and higher depreciation costs,” notes Ted Schuerman, Director of Research & Client Service within Government Services at Runzheimer International. “Remaining cost components, such as maintenance and registration costs, remained relatively stable,” states the vehicle cost expert.

To establish the annual per-mile rate, the IRS works closely with Runzheimer International, the Rochester, Wisconsin-based management consulting firm specializing in vehicle, travel, and living costs which has provided this service to the IRS since 1980. The 50.5 cents-per-mile standard is the amount the U.S. taxpayer can deduct for vehicle expenses on his or her 2008 tax return for business miles driven.

About Runzheimer International
Founded in 1933, Runzheimer International serves 60 percent of the Fortune 500. Recognized for providing innovative solutions relating to total employee mobility, Runzheimer is the global leader in business vehicle reimbursement programs, travel management consulting, employee relocation and compensation, virtual offices, and corporate aircraft.

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For more information, contact Luella Dooley at Runzheimer International, Runzheimer Park, Rochester, Wisconsin 53167, (262)971-2277, ljd@runzheimer.com.