IRS Mileage Rate for Alaska in 2025: Key Facts for Drivers

Last updated: September 25, 2025

Navigating the IRS Mileage Rate for Alaska is crucial for Alaskan residents looking to optimize tax deductions on their business, medical, or charitable driving. With the vast and varied terrains of Alaska—from the bustling streets of Anchorage to the serene landscapes of Fairbanks—it’s essential for individuals to understand how to utilize these mileage deductions effectively.

In this guide, we will explore the specifics of the IRS mileage rates for Alaska and how MileageWise can help you maximize your mileage deductions.

IRS Mileage Rate Alaska

Table of Contents

Summary

  • 2025 IRS Mileage Rates: The standard rates are set at $0.70/mi for business use, $0.21/mi for medical and moving-related driving, and $0.14/mi for charitable activities.
  • Mileage Log Importance in Alaska: Long routes, big distances, and unpredictable conditions, like weather and icy roads, make an accurate mileage log essential.
  • Employer Reimbursement Requirements: In Alaska, there is no specific regulation, but many local businesses follow the IRS guidelines.
  • Get a Step Ahead with MileageWise Solutions: MileageWise simplifies the process of tracking mileage by allowing users to import their Google Maps Timeline to create IRS-compliant mileage logs effortlessly.

IRS Mileage Rate for Alaska: Deduction Potential in a Day

Tok → Copper Center (150 miles)
Copper Center → Paxson (85 miles)
Paxson → Tok (178 miles)

Total miles: 413 miles

Deduction: 413 × $0.70 = $289.10

Ketchikan → Clover Pass (15 miles)
Clover Pass → Saxman (18 miles)
Saxman → Ketchikan (3 miles)

Total miles: 36 miles

Deduction: 36 × $0.70 = $25.20

Maximize Your Alaska Reimbursement: Key Tips You Can’t Miss

Alaska does not mandate a specific law for private employers regarding the use of the IRS mileage rate, yet many local businesses follow the IRS guidelines because the IRS rate provides a clear, consistent, and widely accepted basis for calculating mileage reimbursement. For private businesses, implementing mileage reimbursement programs not only ensures regulatory compliance but also aids in recruiting and retaining talent.

State employees, on the other hand may receive mileage reimbursement based on IRS guidelines under Policy AAM 60.140.

This page is for informational purposes only; please consult a tax professional for advice specific to your situation. For nationwide details, refer to our IRS Mileage Rates page.

2025 Mileage Rate

  • Business Mileage Rate: The standard rate for business-related driving is: $0.70/mi
  • Medical/Moving Mileage Rate: This applies to medical trips and travel for active-duty military members: $0.21/mi
  • Charitable Mileage Rate: For trips made in support of charitable organizations, the rate is: $0.14/mi

IRS Mileage Rate: what does it mean in Alaskan landscapes?

Route (one-way)Approx. miles2025 value
Anchorage → Fairbanks360 mi$252.00 (RT $504.00)
Juneau → Ketchikan240 mi$168.00 (RT $336.00)
Fairbanks → Tok200 mi$140.00 (RT $280.00)
Anchorage → Seward125 mi$87.50 (RT $175.00)
Anchorage → Homer220 mi$154.00 (RT $308.00)
Fairbanks → Delta Junction90 mi$63.00 (RT $126.00)
Ketchikan → Mud Bay9.4 mi$6.58 (RT $13.16)
Anchorage → Palmer40 mi$28.00 (RT $56.00)
Seward → Whittier60 mi$42.00 (RT $84.00)
Fairbanks → Nenana55 mi$38.50 (RT $77.00)
Anchorage → Valdez300 mi$210.00 (RT $420.00)

These calculations are based on the 2025 business mileage rate of $0.70 per mile.

Driving in Alaska’s Fabulous and Challenging Landscapes

  • Southcentral Alaska (Anchorage and surrounding areas): Urban routes with heavier traffic and a mix of short and long distances.
  • Interior Alaska (Fairbanks and Tok): Longer stretches of road with various landscapes, often requiring more planning for fuel and stops.
  • Southeast Alaska (Juneau and Ketchikan): Unique ferry routes and intricate travel logistics due to the geography.

Which Professionals in Alaska Benefit Most from Mileage Reimbursement?

  • Sales representatives
  • Field technicians
  • Healthcare professionals
  • Consultants
  • Delivery drivers
  • Fishing industry workers
  • Oilfield workers
irs-mileage-rate-alaska-road-car

Tailored MileageWise Solutions for Alaska’s Remote and Rugged Terrain

In Alaska, the vast and varied landscapes—from remote tundra to rugged mountain ranges—combined with the challenges of navigating through icy roads and limited access to many rural communities, make keeping an accurate mileage log even more essential for maximizing tax deductions. Whether it’s the long distances between oilfields in the Arctic or the unpredictable weather conditions in remote villages, a robust solution is needed to manage these challenges effectively.

MileageWise offers three specific solutions to cater to Alaskan drivers’ unique needs, ensuring compliance while maximizing deductions:

1. Google Maps Timeline Import: effortless solution

Easily convert your Google Maps Timeline into IRS-compliant mileage logs. If you’ve missed tracking drives, simply import your data and let us handle the necessary formatting for compliance.

2. AI Wizard Mileage Log Generator: stress-free reconstruction

If you’ve fallen behind on tracking your trips and your Timeline is missing, our AI Wizard Mileage Log Generator can automatically reconstruct your driving history based on your driving patterns, eliminating the stress of recalling past trips.

3. MileageWise Mobile App: seamless tracking

The MileageWise mobile app provides a straightforward solution for recording your mileage, ensuring that all your drives in Alaska are accurately documented and ready for tax season.

A Quick Alaska Story: Mileage Log Solutions in Alaska’s Fishing Industry

A logistics manager supporting the fishing industry in Anchorage frequently traveled to fishing hubs around the Bristol Bay area to oversee shipments and coordinate local operations. After a busy period, he realized he had forgotten to log his business trips. By using MileageWise’s Google Maps Timeline import feature, he was able to quickly generate a complete and compliant mileage log, streamlining the deduction process and saving valuable time.

Conclusion

Staying compliant with guidelines and understanding the laws regarding the IRS mileage rate for Alaska is essential for all drivers. Given the unique driving conditions throughout the state, maintaining accurate and audit-ready logs is critical for protecting your right to reimbursement.

With MileageWise, you have access to three powerful solutions:

  1. Use the Google Maps Timeline Import to effortlessly transform your data into an IRS-proof logs.
  2. Your Timeline is missing? The AI Wizard Mileage Log Generator can help you fill the gaps.
  3. For future travels, the MileageWise Mobile App keeps track of every mile automatically.

With these solutions at your disposal, Alaskan drivers can manage their mileage confidently, ensuring they reap the benefits of available deductions.

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FAQ

The IRS mileage rate is the amount the IRS allows taxpayers to deduct for business/medical/charitable-related vehicle travel. It is updated annually and covers costs like fuel, maintenance, and depreciation.

You can deduct expenses related to business trips ($0.70/mi), medical travel ($0.21/mi), and service work for charitable activities ($0.14/mi).

Yes. Alaskan travelers must account for challenging road conditions, long distances between towns, and limited access to services.

No, commuting between home and your regular workplace is considered personal travel and is not deductible.

To ensure compliance, keep detailed records that document the date, purpose of your trip, starting and ending locations, along with the mileage driven. MileageWise can help automate this tracking to maintain accuracy.

Yes, driving on non-paved or rough terrain, which is common in Alaska, is eligible for mileage reimbursement if the travel is for business purposes.

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