Sponsors (12)
The bill simplifies charitable mileage deductions by establishing a predictable 14¢/mile baseline for most volunteer driving while preserving a higher, Secretary‑set rate for intensive nonprofit transport — trading lower tax benefits for many volunteers in exchange for simplicity and targeted protections for high‑service drivers.
Volunteer taxpayers who drive for charitable purposes will be able to claim a simple, predictable flat 14¢ per mile deduction for most volunteer driving.
Drivers who transport people or property for nonprofits can still claim a higher, Secretary‑set mileage rate (not below the standard business rate), preserving larger deductions for intensive or specialized nonprofit transport services.
Most volunteer drivers will receive a lower per‑mile deduction (14¢) than the current standard business mileage rate, reducing their tax benefit and increasing their out‑of‑pocket costs.
The special transportation exception and the Secretary‑set rate could create extra recordkeeping and administrative burdens for the Treasury, some nonprofits, and taxpayers while the rule is issued and interpreted.
Based on analysis of 2 sections of legislative text.
Sets charitable mileage at 14¢/mile for most charity driving and keeps a Secretary‑determined (at least business) rate for transporting people or property; effective for tax years after 2024.
Sets a fixed charitable mileage rate of 14¢ per mile for most vehicle use donated to charities while preserving a special rule for trips that transport other people or property for tax-exempt organizations: those trips use a Secretary‑determined rate that may be higher but must be at least the standard business mileage rate. The change applies to taxable years beginning after December 31, 2024.
Official title: To amend the Internal Revenue Code of 1986 to equalize the charitable mileage rate with the business travel rate.
Introduced February 25, 2025 by Peter Stauber · Last progress February 25, 2025