Charitable Mileage Deduction

In 1998, Congress set at 14 cents per mile the statutory deduction rate for volunteers who use their vehicles for charitable purpose. In the intervening years, fuel prices have risen dramatically. It will take an act of Congress to raise the charitable mileage deduction rate.

Current Status
Several measures have been introduced in Congress to increase the mileage deduction rate for charitable vehicle use. The Reimbursing Our American Drivers (ROAD) Act (S.3032/ H.R.6283) was introduced by Senator Chuck Schumer (D-NY) and Representative John Lewis (D-GA), respectively, to permanently increase to 40 cents per mile the standard deduction rate. H.R.6368 was introduced by Representative Kevin Brady (R-TX) to increase the mileage deduction rate for volunteer use of personal vehicles for charitable purposes to 36 cents to reflect the rise in fuel prices since the beginning of the year. Also, in response to the recent damage caused by flooding, tornadoes, and severe storms in the Midwest, Senator Chuck Grassley (R-IA) introduced the “Midwestern Disaster Tax Relief” amendment to a housing bill (H.R.3221), which would increase the standard mileage rate for charitable vehicle use to 41 cents per mile for individuals assisting in the relief effort.

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