IRS Announces New 2012 Mileage Rates
The IRS announced this week the new standard mileage rates for 2012. Most of the rates remained the same as the last six months of 2011. For regular business use, the rate is still 55.5 cents per mile (don’t ask me where they came up with the half cent). For charitable purposes, the rate is 14 cents and for moving and medical expenses, it is 23 cents per mile.
You can use these rates to reimburse your employees for their business miles and or deduct businessuse of your personal vehicles on the farm.
Paul Neiffer is a certified public accountant and business advisor specializing in income taxation, accounting services, and succession planning for farmers and agribusiness processors. Paul is a principal with CliftonLarsonAllen in Walla Walla, Washington, as well as a regular speaker at national conferences and contributor at agweb.com. Raised on a farm in central Washington, he has been immersed in the ag industry his entire life, including the last 30 years professionally. Paul and his wife purchase an 180 acre ranch in 2016 and enjoy keeping it full of animals.
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