Self-employed

2026 Mileage Rate for Gig Drivers: 72.5 and 76 Cents

Updated October 1, 2026

For 2026 the IRS lists 72.5 cents per mile for business miles from January 1 to June 30 and 76 cents per mile from July 1 to December 31. Gig drivers can use that rate or actual costs, and either way you need a log.

The 2026 rates, straight from the IRS

For 2025 there was one rate for the whole year. In 2026 the IRS lists two periods on its standard mileage rates page:

January 1 through June 30, 2026: 72.5 cents per mile for business.
July 1 through December 31, 2026: 76 cents per mile for business.

The rate is set by the date you drove, not the date you file. A trip in March uses 72.5 cents. A trip in October uses 76 cents. For comparison, the 2025 business rate was 70 cents per mile. The General Services Administration, which sets the federal travel rate for personal cars, follows the same IRS business rate and shows the same two 2026 periods.

The same page lists charitable driving at 14 cents per mile for all of 2026. That rate is fixed by the tax code, so it does not move with the business rate. The page also lists separate rates for medical and military moving trips, which do not apply to your business driving.

Standard rate or actual expenses

You have two ways to deduct the car. With the standard mileage rate, you multiply business miles by the rate. With actual expenses, you add up real costs like gas, insurance, repairs, and depreciation, then deduct the business share.

The IRS has rules on when the standard rate is allowed and when you can change methods. They depend on things like whether you own or lease the car, when you first used it for business, and whether you run a fleet of cars. Do not guess. Read the IRS guidance on business use of a car, and ask your preparer before you pick a method, especially for a newer car.

Which is better depends on your car. High miles in an efficient car often favor the standard rate. Costly repairs and low miles can tip the other way. Your preparer can compare both if you bring your numbers.

If you change methods in a later year, your records need to show the choice you made. Keep last year's return with your files so it is easy to see which method you used. Also keep car purchase or lease papers, since first-year choices can affect what you can do later.

Get a quote for your gig driver return

A real preparer reviews and signs your return. You see the written quote before we start.

Get my quote

Which miles count

Business miles are driven to earn income. For a gig driver, the IRS treats regular commuting from home to a regular workplace as personal, so plan to look at your particular setup with your preparer. Common business miles include:

Driving to pick up a customer or an order.
Driving with a passenger or order in the car.
Trips between work sites or to meet clients.
Trips to buy supplies or make a business delivery.

Personal errands and other private trips do not count. Our rideshare mileage deduction post goes deeper on the tricky cases.

How to keep a mileage log that holds up

The IRS says you need adequate records or sufficient evidence to support your statement. Publication 463 lists what to record for car expenses: the amount, the time of the travel, the place, and the business purpose. A log, diary, or notebook works, and the IRS stresses keeping records at or near the time of the trip. That requirement comes from section 274(d) of the tax code, and Treasury regulations list an account book, diary or log as a way to meet it.

A simple routine:

Write down the odometer reading on January 1 and again on December 31.
Record business miles by day, with a short note on purpose.
Keep app trip summaries or a spreadsheet. Save copies each month.
Keep receipts for parking and tolls and ask your preparer how they are handled.

Track the split date. Miles before July 1 and miles from July 1 on get different rates, so keep two subtotals.

If you forgot to log a trip, write it down as soon as you can while you still remember it. A log made at the time of the trip carries far more weight than one rebuilt months later from memory. If you drive for more than one company, either keep one combined log or label each trip so your totals match your income records.

Do the math both ways

Here is an example with made-up miles, using the rates above. Say you drove 3,000 business miles from January through June and 4,000 from July through December. At the IRS rates that is 3,000 times 72.5 cents plus 4,000 times 76 cents, or $2,175 plus $3,040, for $5,215. Your own numbers will differ, and the deduction reduces your taxable business profit. It does not come back as cash.

The standard rate is the simpler option, since you do not have to track each car cost one by one.

Getting your return done

Gig work is reported on Schedule C. See our gig worker tax page for how we handle it. A self-employed return starts at $450, with the final fee set in a written quote, plus e-file and processing fees. We prepare returns only. We do not represent taxpayers before the IRS.

Estimated payments matter for drivers too. The IRS says to plan on them if you expect to owe $1,000 or more. See the estimated taxes guide.

Bring your mileage log, your income forms, your expense records, and your car details: make, model, the date you started using it for work, and the odometer readings at the start and end of the year. Those few items answer most questions.

If you are partway through the year now, it is a good moment to check your log. Make sure your miles before July 1 and your miles from July 1 on are both in your records and add up.

FAQ

What is the 2026 business mileage rate?

The IRS lists 72.5 cents per mile for January 1 through June 30, 2026, and 76 cents per mile for July 1 through December 31, 2026. Apply the rate that matches the date of each trip.

Can I switch between standard mileage and actual expenses?

Sometimes. The IRS has rules that depend on whether you own or lease the car and when you first used it for business. Ask your preparer before you pick a method, especially for a new car.

Is my commute to my first pickup deductible?

Regular commuting is treated as personal by the IRS. Whether the drive to your first pickup counts depends on your work setup. Bring your log and your questions and your preparer will look at your case.

Do I need a mileage app?

No. The IRS accepts a log, diary, or notebook. An app just makes it easier to keep timely records. What matters is date, place, purpose, and miles for every trip.

Sources

Keep reading

Serving Longwood, Seminole County and clients in all 50 states remotely. See where we work.

General information, not tax advice for your specific situation. Rules can change, and a human preparer reviews your facts before any return is filed. Zero Fuss Taxes is a PTIN-holding tax preparation firm. We are not a CPA firm, enrolled agents or attorneys.

Start My Tax Return Call 689-331-5723