This past Friday, the IRS announced the standard mileage rates for 2012. They are as follows:
55.5 cents per mile for business travel.
23 cents per mile for medical or moving purposes.
14 cents per mile in services for charitable organizations.
The business rate is unchanged from the 2011 mid year adjustment, while the medical and moving rate has been reduced by .5 cents per mile. These rates are effective as of January 1, 2012.
The IRS announced, effective July 1, 2011 that the mileage reimbursement rate is being raised to 55.5 cents a mile on vehicles used for business purposes. The current rate is 51 cents. The mileage reimbursement rate for medical or relocation purposes will increase from 19 cents to 23.5 cents per mile. Mileage for charitable purposes will remain at 14 cents. IRS Commissioner Doug Shulman stated that "This year's increased gas prices are having a major impact on individual Americans....We are taking this step so the reimbursement rate will be fair to taxpayers."
Last July, I wrote about the FLSA's changes that mandated a break for mothers who are breast feeding to be able to express milk. Last week, the IRS changed a long standing policy, at the urging of many groups, including the American Academy of Pediatrics, and will allow a tax deduction for breast pumps and other lactation supplies. In a letter from the Commissioner of the IRS, effective for the 2010 tax year, the IRS will treat breast pumps and other supplies that assist lactation to be "medical care" and their costs will qualify as deductible medical expenses and will also qualify as medical expenses reimbursable under a flexible health spending account. The New York Times reported that a Harvard Medical School study conducted last year showed "that if 90 percent of mothers followed the standard medical advice of feeding infants only breast milk for the first six months, the United States could save $13 billion a year in health care costs and prevent the premature deaths of 900 infants each year from respiratory illness and other infections."
Practice pointer. Employers should continue to be aware of the FLSA's requirement for mandatory breaks for mothers to express milk while at work. With the reversal of the IRS's position, more mothers may begin or continue to breast feed longer since the cost of the equipment is now deductible or reimbursable under a flexible health spending account.
Last July, I wrote about the FLSA's changes that mandated a break for mothers who are breast feeding to be able to express milk. Last week, the IRS changed a long standing policy, at the urging of many groups, including the American Academy of Pediatrics, and will allow a tax deduction for breast pumps and other lactation supplies. In a letter from the Commissioner of the IRS, effective for the 2010 tax year, the IRS will treat breast pumps and other supplies that assist lactation to be "medical care" and their costs will qualify as deductible medical expenses and will also qualify as medical expenses reimbursable under a flexible health spending account. The New York Times reported that a Harvard Medical School study conducted last year showed "that if 90 percent of mothers followed the standard medical advice of feeding infants only breast milk for the first six months, the United States could save $13 billion a year in health care costs and prevent the premature deaths of 900 infants each year from respiratory illness and other infections."
Practice pointer. Employers should continue to be aware of the FLSA's requirement for mandatory breaks for mothers to express milk while at work. With the reversal of the IRS's position, more mothers may begin or continue to breast feed longer since the cost of the equipment is now deductible or reimbursable under a flexible health spending account.
On December 3, the IRS announced that it was lowering the standard mileage rates for 2010. Citing lower transportation costs, the new rates, effective January 1, 2010 are as follows:
50 cents per mile for business-related use (down from 55 cents per mile in 2009)
16.5 cents per mile for medical or relocation -related purposes (down from 24 cents in 2009)
14 cents per mile for use to support a charity (unchanged from 2009).
The IRS has set the new mileage rates for 2009. The IRS website contains the following article:
IRS Announces 2009 Standard Mileage Rates |
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Daniel J. Burnick is an attorney in the Birmingham office of Sirote & Permutt. His practice focuses mainly on employmentMore...
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