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Level 3
posted Feb 26, 2023 3:35:01 PM

For 2022 Can I switch between the standard mileage rate and actual expense method for charity?

Actual cost for Charity miles in 2022 was ~ $0.21.  I drove '000's of charity miles.  Where in tURBO tAX DO i SUBSTITUE MY SUMMARY COST FOR gAS AND oIL(fLUIDS) with $0.14 IRS Default?

0 2 607
2 Best answers
Expert Alumni
Feb 26, 2023 3:49:55 PM

You cannot change from the standard mileage rate for Charity.  The rate is set by statute, and thus the reason it doesn't change when the IRS updates mileage rates.  It requires an act of Congress (literally) to change the $0.14 rate for the mileage deduction for charity. 

Level 3
Feb 26, 2023 8:00:47 PM

Confusion: 

Source: https://edwardwlong.com/irs-announces-charity-volunteer-mileage-rate-for-2022 Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates. WRONG 

 

https://edwardwlong.com/volunteers-and-taxes/

  • The basic test. You may be able to deduct amounts you pay in giving services to a qualified organization. The amounts must be
    • (a) unreimbursed, and
    • (b) directly connected with the services you gave, and
    • (c) incurred only because of the services you gave, and
    • (d) not personal, living or family expenses.
  • If you use your car in providing services that pass the basic test you can deduct:
    • 14 cents per mile to and from the Qualified Organization location, or actual variable costs related to that mileage .  WRONG 
    • Plus tolls and parking.
    •  

https://www.irs.gov/pub/irs-drop/rp-10-51.pdf

provides rules for using optional standard mileage rates in computing the deductible
costs of operating an automobile for business, charitable, medical, or moving expense
purposes.

 

Definition: (2) Deductible costs of operating automobiles for charitable, medical, or moving
expense purposes.

 

Charitable standard mileage rate. A taxpayer may use the charitable standard
mileage rate (published in an annual notice) to compute the charitable contribution
deduction for use of an automobile in rendering gratuitous services to a charitable
organization under § 170.

 

(1) The standard mileage rates for the use of an automobile for business,
charitable, medical, and moving expense purposes are now published in a separate
annual notice.

 

Charitable or medical and moving standard mileage rate in lieu of variable
expenses. A deduction computed using the applicable standard mileage rate for
charitable, medical, or moving expense miles is in lieu of a deduction for variable
expenses (including gasoline and oil) of the automobile allocable to those purposes.

 

 

 

 

2 Replies
Expert Alumni
Feb 26, 2023 3:49:55 PM

You cannot change from the standard mileage rate for Charity.  The rate is set by statute, and thus the reason it doesn't change when the IRS updates mileage rates.  It requires an act of Congress (literally) to change the $0.14 rate for the mileage deduction for charity. 

Level 3
Feb 26, 2023 8:00:47 PM

Confusion: 

Source: https://edwardwlong.com/irs-announces-charity-volunteer-mileage-rate-for-2022 Taxpayers always have the option of calculating the actual costs of using their vehicle rather than using the standard mileage rates. WRONG 

 

https://edwardwlong.com/volunteers-and-taxes/

  • The basic test. You may be able to deduct amounts you pay in giving services to a qualified organization. The amounts must be
    • (a) unreimbursed, and
    • (b) directly connected with the services you gave, and
    • (c) incurred only because of the services you gave, and
    • (d) not personal, living or family expenses.
  • If you use your car in providing services that pass the basic test you can deduct:
    • 14 cents per mile to and from the Qualified Organization location, or actual variable costs related to that mileage .  WRONG 
    • Plus tolls and parking.
    •  

https://www.irs.gov/pub/irs-drop/rp-10-51.pdf

provides rules for using optional standard mileage rates in computing the deductible
costs of operating an automobile for business, charitable, medical, or moving expense
purposes.

 

Definition: (2) Deductible costs of operating automobiles for charitable, medical, or moving
expense purposes.

 

Charitable standard mileage rate. A taxpayer may use the charitable standard
mileage rate (published in an annual notice) to compute the charitable contribution
deduction for use of an automobile in rendering gratuitous services to a charitable
organization under § 170.

 

(1) The standard mileage rates for the use of an automobile for business,
charitable, medical, and moving expense purposes are now published in a separate
annual notice.

 

Charitable or medical and moving standard mileage rate in lieu of variable
expenses. A deduction computed using the applicable standard mileage rate for
charitable, medical, or moving expense miles is in lieu of a deduction for variable
expenses (including gasoline and oil) of the automobile allocable to those purposes.