Dec. 12, 2005 - MILEAGE CHECK

The IRS issued its 2006 optional standard mileage rates used to calculate the allowable tax deductions for driving a car for business and other uses. Beginning Jan. 1, 2006, the standard mileage rate for the use of a car (including vans, pickups or panel trucks) for business is 44.5 cents per mile. That's up from the 40.5 cents per mile allowed for the first eight months of 2005, though down from the rate allowed during the last four months of 2005 when the IRS raised the business rate to 48.5 cents per mile in response to a sharp increase in gas prices. The standard mileage rates for business, medical and moving purposes are based on an annual study of the fixed and variable costs of operating an automobile. Runzheimer International, an independent contractor, conducted the study for the IRS.

For more information or to check other allowable mileage rates, go to: http://www.irs.gov/newsroom/article/0,,id=151226,00.html