It’s not too late to get your Economic Stimulus Payment from the IRS! If you still haven’t filed your 2007 tax return, you must do so by October 15th to receive your Stimulus Payment. Remember that if you don’t normally file a tax return but want the stimulus check then you must file a return for 2007! Once you have filed your 2007 tax return it will take about 8 weeks to get your stimulus check.
Don’t delay filing your tax return this year. If you wait until after October 15th then you will not be eligible for the Economic Stimulus Payment from the IRS!
With gas prices soaring, the IRS has announced an increase in the standard mileage rates that taxpayers can use to deduct the cost of driving for business, medical services, or moving.
BUSINESS. Effective for driving from July 1 through December 31, 2008, the standard mileage rate for business driving has been increased to 58.5¢ per mile.
The rate for business miles driven from January 1 through June 30, 2008, remains at the previous rate of 50.5¢ a mile.
MEDICAL AND MOVING. The IRS also increased the deductible rate for medical and moving mileage for the last six months of 2008 to 27¢ a mile. For the first six months of 2008, the rate remains at 19¢ a mile.
CHARITABLE. Note that the IRS made no change in the mileage rate for driving in conjunction with charitable activities. That rate is set by law and remains at 14¢ a mile.
The standard mileage rates provide taxpayers with an IRS-approved recordkeeping shortcut for deducting expenses for business, medical, and moving driving. The rates are adjusted annually based on operating costs for vehicles. When costs rise dramatically during the year, the IRS considers a midyear change.
The new mileage rates are available to many - but not all - drivers. Give us a call if you have questions or need details on how the changes affect your situation.
