The Internal Revenue Service has increased the optional standard mileage rate for the final 6 months of 2022.
For the final 6 months of 2022, the standard mileage rate for business travel will be 62.5 cents per mile, up 4 cents from the rate effective at the start of the year, according to an announced June 9, 2022. This rate often is used as a benchmark by businesses to reimburse their employees for mileage.
The new rate for deductible medical or moving expenses (available for active-duty members of the military) will be 22 cents for the remainder of 2022, up 4 cents from the rate effective at the start of 2022. These new rates become effective July 1, 2022.
The 14 cents per mile rate for charitable organizations remains unchanged as it is set by statute.
“While this decision is welcome, it is important that government payers like Medicare and Medicaid to increase payment rates to recognize cost increases impacting the entire economy, particularly health care,” said William A. Dombi, president of the National Association for Home Care & Hospice (NAHC).
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