Mileage Rates for 2012 Released

On December 15th, 2011, posted in: Accounting by 0 Comment

The IRS recently announced the standard mileage rates for 2012 (Notice 2012-1). Use the optional standard mileage rates to calculate the deductible costs of operating an automobile. Business use of an automobile remains at 55½ cents per mile. Even in our virtual accounting office, we still put miles on our vehicles traveling to meet with clients and attending networking events. Every mile counts.

Be sure to keep track of miles driven and what the business purpose is. You can enter mileage in QuickBooks or just get a little mileage log at the office supply to jot it down. Once you’ve tracked your mileage, you can reimburse yourself or do an adjusting journal entry against draws/distributions.

Getting credit for miles driven is like the lottery: you can’t win if you don’t play. So track those miles!

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