IRS announces medical mileage rate increase Skip to content

IRS announces medical mileage rate increase

Man gets gas for his car at gas station in a time of high gas prices.

Relief at the gas pump? We all need it. As of June 15, AAA reported a national average of $5 per gallon. For consumers traveling by car to receive medical care, every mile can add up. To offset high gas prices, on June 9, 2022, the Internal Revenue Service (IRS) announced an increase in the 2022 standard medical mileage rate for the final six months of 2022.1

Effective July 1, 2022, the new rate for when an automobile is used to obtain medical care—which may be deductible under Internal Revenue Code § 213 if it is primarily for, and essential to, the medical care—is 22 cents per mile for the remainder of 2022, which is an increase from the rate of 18 cents per mile effective January 1 – June 30, 2022.

 

Eligible expenses

Mileage to and from a medical service is generally an eligible expense under a Healthcare Flexible Spending Account, Health Reimbursement Arrangement, or Health Savings Account. As gas prices continue to rise, this standard mileage rate increase is a welcome relief. While no direct action is required, individual taxpayers should note this increase (and its effective date) when preparing their Calendar Year 2022 income tax filings.

 

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HealthEquity does not provide legal, tax or financial advice. Always consult a professional when making life-changing decisions.

1 https://www.irs.gov/pub/irs-drop/a-22-13.pdf

2 https://www.irs.gov/pub/irs-drop/n-22-03.pdf

 

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