To take the standard mileage deduction for business, you can't:
- Operate more than five or more vehicles at the same time, as in a fleet operation
- Claim a depreciation deduction on the car (other than the straight-line method)
- Claim a Section 179 deduction on the car
- Claim a special depreciation allowance on the car
- Have claimed actual expenses after 1997 for a leased car
To use the standard mileage rate for a car you own, you must choose to use it in the first year the car is available for use in your business. Then, in later years, you can choose to use the standard mileage rate or actual expenses.
For a car you lease, you must use the standard mileage rate method for the entire lease period (including renewals) if you choose the standard mileage rate.