IRS boosts business mileage rates as gas prices soar

The Internal Revenue Service has some good news for taxpayers who use the federal mileage rate for business use of a vehicle. With gas prices soaring at the pumps, the IRS has increased the standard business travel reimbursement rate to 62.5 cents per mile, up 4 cents from the rate of 58.5 cents that went into effect in January. The new rate goes into effect on July 1 through Dec. 31. The rate applies for use of a car, van, pickup or panel truck. Separately, the new rate for deductible medical…