Has the IRS permanently changed the standard mileage reimbursement rate?
The HR Management & Compliance Report: How To Comply with California Wage & Hour Law, explains everything you need to know to stay in compliance with the state’s complex and ever-changing rules, laws, and regulations in this area. Coverage on bonuses, meal and rest breaks, overtime, alternative workweeks, final paychecks, and more.
Yes and no. The IRS has set a new rate just for the final four months of 2005 of 48.5 cents per mile. Citing ‘fairness to taxpayers,’ the IRS issued the change in response to recent gas price increases. But the new rate is not permanent. It will be in effect from September 1, 2005 until December 31, 2005. The rate for 2006, which may be lower than 48.5 cents, will be issued before the end of the year, after the IRS gets a better handle on the trend of gas prices. — CELA Editors