Mile-Shift

The IRS mileage rate went up on July 1, 2026

Last updated September 23, 2026. Figures read from the tax authorities' own pages — sources at the bottom. Not tax advice.

For the first half of 2026 the IRS business rate was 72.5¢ per mile. From July 1 it is 76¢ — a mid-year change, which is unusual and easy to miss. If your mileage log prices the whole year at one rate, every business mile you drove since July is worth 3.5¢ less than it should be.

What that's worth

15,000 business miles driven July–December:

15,000 × $0.76 = $11,400  ·  at the old rate, 15,000 × $0.725 = $10,875

$525 more deduction — on the same miles.

The 2026 rates, with their effective dates

WherePeriodBusiness rateNotes
United States (IRS)Jan 1 – Jun 30, 202672.5¢ / mileMedical & military moving 20.5¢; charity 14¢
Jul 1 – Dec 31, 202676¢ / mileMedical & military moving 23.5¢; charity still 14¢
Canada (CRA)Calendar 202673¢ / km, then 67¢Tier changes after the first 5,000 km. Territories: 77¢ then 71¢
United Kingdom (HMRC)To Apr 5, 202645p / mile25p above 10,000 miles
From Apr 6, 202655p / mileFirst rise since 2011; still 25p above 10,000 miles
Australia (ATO)To Jun 30, 202688c / kmCents-per-kilometre method, capped at 5,000 km
From Jul 1, 202691c / km2026–27 income year; same 5,000 km cap

How to tell whether your log is right

Open your mileage export and look at two trips: one from May, one from August. If both were valued at the same rate per mile, the log is using a single rate for the year — and your second-half deduction is understated. The same trap runs the other way in the UK and Australia, where a log that applies the new rate to the whole year overstates the early months, which is the direction that attracts questions.

What Mile-Shift does

Each trip is priced at the rate that applied on the day you drove it. A May mile is 72.5¢, an August mile is 76¢, and the CSV and PDF exports name each window so your accountant can see which rate produced which figure. Canada's two-tier rate, the UK's 10,000-mile threshold and Australia's 5,000 km cap are each counted across the year, not restarted per export.

Mile-Shift is a logging tool, not a tax adviser. Rates are transcribed from the authorities' own publications and shown with their dates so you can check them.

Sources

Let the app keep the rate straight.

Mile-Shift logs your drives automatically, prices each one at the rate in force that day, and exports a log your accountant can read. 30 days free, no account — then $1.99/month.

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