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Charity Mileage
Charity mileage refers to the miles you drive while volunteering for qualified nonprofit organizations. Under IRS rules, you can deduct these miles at the charitable mileage rate, helping to offset the costs of fuel, maintenance, and wear and tear when you use your personal vehicle for charitable work.
IRS Rules for Charity Mileage
Qualified Organizations: You must be volunteering for an IRS-recognized charity, such as religious groups, educational institutions, healthcare organizations, animal welfare, or environmental agencies.
Required Documentation: Keep a log of each trip’s date, starting point, destination, purpose (e.g., “deliver meals to seniors”), and miles driven. Retain any toll or parking fee receipts.
Deduction Limits: You can deduct charity mileage up to the percentage of your adjusted gross income allowed for charitable contributions (generally 60% AGI, but certain organizations may be limited to 20–50% AGI).
How to Track Charity Mileage
Manual Log: Use a paper log or spreadsheet to record start/end odometer readings, trip purpose, and miles for each volunteer drive.
Odometer Calculator: Subtract your starting odometer reading from the ending reading for each trip to get precise miles.
Digital Apps: Employ an automatic mileage tracker (like MileageWise) to detect and log trips, categorize them as “charity,” and generate mileage logs with all required fields.
Why Track Charity Mileage?
Maximize Tax Savings: Claim every qualifying mile to reduce taxable income.
Audit Protection: Detailed, contemporaneous records help you stand up to IRS scrutiny.
Simplify Filing: Organized mileage logs—especially automated ones—make annual tax prep quicker and more accurate.
FAQ
What is charity mileage?
Charity mileage is the distance you drive while volunteering for a qualified nonprofit, deductible at the IRS charitable rate (updated each year).
Who is eligible to claim a charitable mileage deduction?
Volunteers who drive for recognized charities (religious, educational, healthcare, animal welfare, environmental) and keep detailed trip logs can claim the deduction.
How do I calculate and report my charity miles?
Multiply your total volunteered miles by the current year’s rate. Maintain a log with dates, purposes, odometer readings, and any tolls/parking fees to support your deduction. Alternatively, you can use an AI mileage log if you forgot to track trips. Avoid generating trips at random.
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Automatic Mileage Tracker App
