Much more information on charity volunteer mileage rates and what a volunteer can deduct is now available at SeriousGivers.org at the “What can a charity volunteer deduct?” page. Go there for ongoing coverage (comments are closed on this page).
On December 3, the Internal Revenue Service issued the 2010 optional standard mileage rates used to calculate the deductible costs of operating an automobile for business, charitable, medical or moving purposes. Our post on the 2011 rates.
Beginning on Jan. 1, 2010, the standard mileage rates for the use of a car (also vans, pickups or panel trucks) will be:
- 50 cents per mile for business miles driven;
- 16.5 cents per mile driven for medical or moving purposes; and
- 14 cents per mile driven in service of charitable organizations.
Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates. For more information, see our article on charitable deductions for volunteers and IRS Revenue Procedure 2009-54.
Find out more about your favorite charity by looking at its IRS Form 990 or 990-EZ.
Read the latest additions to this site.
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I work for a charity organization. Does this mean I deduct the business amount of 50 cents or the charity amount of 14 cents?
Thanks!
Melissa
Melissa — Yes, as a paid employee you would use the 50 cent rate, rather than the 14 cent rate. The 14 cent rate applies to driving while providing “gratuitous” or volunteer services. Remember, these are optional standard rates — you retain the right to do the calculation based on actual costs.
What rate do I use to pay a speaker for mileage? We had our volunteer symposium this past weekend and I need to pay our closing keynote speaker and not sure which rate to use. We are a non-profit organization. I am paying the speaker an honorarium to speak plus mileage. Thanks!
Did the speaker seek an honorarium and mileage? Did you promise mileage?
If neither the speaker nor you (or your organization) ever discussed the question of mileage — I’d just pay the honorarium and forget about the mileage. Having been a regular speaker / honorarium receiver, I’ve never received a mileage payment unless I had asked for mileage to be covered in some way.
If the speaker did ask for mileage (or you promised it), and was speaking on his or her professional / business topic, I’d suggest you use the business mileage rate of 50 cents per mile.
My husband and I are volunteer fire fighters. I am a treasurer as well for the organization. We have miles contributed to running to the fire hall for calls, meetings, and training, as well as business, fund raisers and misc. What rate should we use?
CW — for starters, you can use the charitable rate (14 cents per mile).
The better news is that the 14 cents per mile is a “safe harbor” — if you use it, the IRS won’t challenge your costs.
And even better news is that you aren’t stuck with the 14 cents per mile — it’s optional. To quote the IRS statement, “A taxpayer may use actual allowable expense amounts to substantiate expenses if the taxpayer maintains adequate records or other sufficient evidence.” Paraphrasing the IRS statement: the costs you can deduct are your variable expenses (including gasoline and oil) of the automobile allocable to the charitable purpose. You can also deduct parking fees and tolls. Costs for items such as depreciation or lease payments, insurance, and license and registration fees are not deductible.
For the details, see the Revenue Procedure quoted above, especially Section 7.
You should discuss this with an experienced and capable tax advisor.
Note: this response assumes that your volunteer fire department would be considered a “charitable” organization.
I think the 14 cents is minimal for a volunteer, expecialy for a Volunteer Firefighter. My Husband does keep track of all his miles for the year when answering fire & ems calls and different other ralated fire dept duties and I will tell you 14 cents is nothing condsidering the hundreds of dollars spent on gasoline for the vehicle and the wear and tear on the vehicles. It has been 14 cents for as long as I can remember. Volunteers are very importent in the rural areas! Local Goverments would never be able to afford paid ems and firefights, so I think in return they should be rewarded more from the government in other ways. The amount should be right up there with the business if not more. This definitely should be reviewed for the 2011 tax year.
Kim – Yes, the 14 cents per mile is ridiculous. But, see my response to CW (Jan. 21), pointing out that the 14 cents is optional.
Believe it or not, the 14 cents is written right in the Internal Revenue Code (without language suggesting it be adjusted for inflation). See IRC Section 170(i) — which is part of the charitable deduction section of the Code. It hasn’t been changed for the 2011 tax year (see our post on the 2011 rates). To get it changed, Congress will have to amend it — time to talk with your Congressperson.
I am a volunteer at a county government not for profit museum that is not actually a charitable organization…what mileage rate would I use? I volunteer as a project assistant and researcher doing exhibits and projects for the museum.
Karri — Interesting question. A donor can deduct contributions to a State or its political subdivision (a county is a political subdivision) if for exclusively public purposes. If the museum is part of the county, and provides part of county public services — you may well be able to deduct your mileage as a volunteer. The county’s finance department may already have investigated this; and discuss this with your own experienced and capable tax advisor. You might also want to take a look at our posting on what a volunteer can deduct.
As to what mileage rate you’d use — if you are allowed to deduct you’d use the optional 14 cents per mile or (likely better) your actual costs as described in my response to CW.
I am a volunteer assistant coach for a youth football in California and the team is apart of the Southern California Junior All American Football and Cheer Conference. My question is, can I write off this mileage (practices, games, team functions?
If so, I’ve kept a detailed log but how exactly does it work? I mean, do I include the mileage to practice, or to practice AND from practice to home? (I’m assuming it’s just to practice).
Coaching Guy — If the Conference is a “qualified organization” (more on that later), you can deduct all the miles you drive as part of your volunteer work (round trip is OK) . And, you can use the optional 14 cents per mile or the actual costs — as spelled out in my response to CW. See also our posting on what a volunteer can deduct.
The bigger question for you to resolve: is the Conference a “qualified organization” — only donations to qualified organizations are deductible as charitable contributions. To be a qualified organization, it must be a church, a government agency or have applied to the IRS for a determination that donations to it are deductible. Doesn’t sound like the Conference is a church or government agency — if it has applied to (and succeeded with) the IRS, it should be listed in the online IRS Publication 78.
Discuss this with your own experienced and capable tax advisor.
Just for clarity…if our agency reimburses volunteers for their mileage at the business rate (currently 55 cents per mile), does the agency have to provide the volunteer a 1099 form because anything above the 14 cents per mile rate is taxable?
Bates -
Sorry for the delay. We checked a bit and didn’t find a solid answer. We suggest you discuss this with your agency’s tax advisor — and see if there’s a minimum amount involved before a 1099 is required.