Mileage Rate Change


No Change to Maximum Mileage Rate

The Internal Revenue Service periodically updates the maximum mileage rate that employers can reimburse employees for business-related use of their own personal vehicle. However, the IRS recently announced that the current rate of 55.5 cents per mile, which has been in effect since July 1, 2011, would continue to be in effect in calendar year 2012 until further notice.

The Mileage Report that may be used to document reimbursable mileage is located on the AP travel website.

If you have any questions about the mileage rate, please contact Sandra Silva (3-5883 or ssilva@central.uh.edu) or Edwin Rodas (3-8961 or emrodas@central.uh.edu).

New Taxable / Non-Taxable Mileage Rate for Moving Expenses
Effective January 1, 2012

While the overall reimbursement rate for mileage did not change, the IRS did make a change to mileage related to moving and relocation expenses effective January 1, 2012. Part of the mileage associated with moving expenses is non-taxable and part is taxable. The table below indicates the taxable and non-taxable mileage rates related to moving expenses:
 

For Moving Mileage Incurred Non-Taxable Taxable Total
January 1, 2011 – June 30, 2011 19.0 cents per mile 32.0 cents per mile 51.0 cents per mile
July 1, 2011 – December 31, 2011 23.5 cents per mile 32.0 cents per mile 55.5 cents per mile
January 1, 2012 and After 23.0 cents per mile 32.5 cents per mile 55.5 cents per mile



If you have any questions about moving expenses, please contact Keith Gernold (3-8710 or kgernold@central.uh.edu).