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How much can gig drivers deduct for mileage in 2026?
In short: for 2026 the IRS standard mileage rate for business driving is 72.5 cents a mile from January 1 to June 30 and 76 cents a mile from July 1 to December 31. For 2025 it was 70 cents. Multiply your business miles by the rate for the dates you drove them, add business tolls and parking, and that’s your car deduction under the standard method.
The official rates
The IRS usually sets one business rate per year. In 2026 it raised the rate in the middle of the year because of higher fuel prices, so 2026 has two rates (Announcement 2026-11).
| Miles driven | Business rate | IRS source |
|---|---|---|
| July 1 – Dec. 31, 2026 | 76¢ a mile | IR-2026-29 / Announcement 2026-11 |
| Jan. 1 – June 30, 2026 | 72.5¢ a mile | IR-2025-128 / Notice 2026-10 |
| 2025 (all year) | 70¢ a mile | IR-2024-312 |
| 2024 (all year) | 67¢ a mile | IR-2023-239 |
Each mile uses the rate for the day you drove it, not the day you file. The rates apply to gas, diesel, hybrid and fully electric cars alike (IR-2025-128). The full list is on the IRS standard mileage rates page.
Who can use the standard mileage rate
If you drive for DoorDash, Uber Eats, Amazon Flex or similar apps as an independent contractor, you report your gig income and expenses on Schedule C. You can generally use the standard rate for a car you own or lease, with a few limits from IRS Publication 463 (chapter 4):
- First-year rule: for a car you own, you have to choose the standard rate in the first year you use that car for business. After that you can pick either method each year. For a leased car, if you choose the standard rate you use it for the whole lease.
- You can’t use it if you’ve already claimed accelerated depreciation (MACRS), a section 179 deduction or bonus depreciation on that car, or if you run five or more cars at the same time.
Our guide to standard mileage vs. actual car expenses explains the first-year rule in more detail.
A worked example
Here’s a made-up driver, Sam, who delivers part-time in 2026. Sam’s log shows 3,200 business miles from January through June and 4,100 business miles from July through December.
| Period | Business miles | Rate | Amount |
|---|---|---|---|
| Jan. 1 – June 30 | 3,200 | $0.725 | $2,320.00 |
| July 1 – Dec. 31 | 4,100 | $0.76 | $3,116.00 |
| 2026 total | 7,300 | $5,436.00 |
Sam also paid $38 in tolls and $12 for parking while delivering. Those go on top, so Sam’s car and truck expenses on Schedule C line 9 come to $5,486 (Schedule C instructions, line 9).
For comparison, the same 7,300 miles driven in 2025 would have been worth $5,110 at 70 cents.
What a deduction is actually worth
A deduction isn’t money back. It lowers your net profit, and your net profit is what income tax and self-employment tax are figured on. Self-employment tax is 15.3% (12.4% Social Security plus 2.9% Medicare), charged on 92.35% of your net earnings once they reach $400 (IRS Topic 554). For most drivers, Sam’s $5,436 of mileage would cut self-employment tax by roughly $768 (5,436 × 0.9235 × 0.153), plus whatever it saves in income tax at Sam’s bracket. Your numbers will be different.
What the rate covers, and what you can still add
The standard rate is meant to cover the cost of running the car: gas, oil, repairs, tires, insurance, registration and depreciation. If you use it, you can’t also deduct those costs (Pub. 463). You can still add:
- business tolls and parking (not parking at a regular workplace);
- the business share of interest on a car loan, if you’re self-employed (for example, 60% business use means 60% of the interest);
- the business share of state and local personal property tax on the car.
Costs that aren’t car costs, like the business part of your phone bill or insulated delivery bags, aren’t part of the mileage rate. They can be separate business expenses.
Only business miles count
The rate only applies to business miles. Personal driving and commuting don’t count, and the first and last drive of the day can be tricky for gig drivers. See what counts as business miles for DoorDash, Uber Eats and Amazon Flex. You also need a log made at or near the time, because the IRS says you can’t deduct amounts you estimate. Our guide to what the IRS expects in a mileage log covers what to write down.
Frequently asked questions
Is the 2026 mileage rate 70 cents or 72.5 cents?
Neither for the whole year. 70 cents was the 2025 rate. For 2026 the IRS business rate is 72.5 cents a mile for January 1 through June 30 and 76 cents a mile for July 1 through December 31.
Do I use 76 cents for all of my 2026 miles?
No. The 76-cent rate applies to miles driven on or after July 1, 2026. Miles from January through June use 72.5 cents. That’s why it helps to keep a dated log, so you can total each half of the year.
Can I deduct gas as well as mileage?
Not if you use the standard mileage rate. The rate already covers gas, oil, repairs, insurance and depreciation. Business tolls and parking can still be added. If you’d rather deduct real costs, that’s the actual expense method, and you can’t use both for the same car in the same year.
Can I deduct mileage if I didn’t get a 1099?
The IRS says gig income has to be reported even if you don’t get a 1099 or other form. Business expenses, including car expenses, are figured the same way either way. What matters is that you have records to support them.
Does my gig app’s yearly summary count as a mileage log?
It can be useful backup, but it may not include every business mile you drove, and it isn’t a log you kept yourself. Keep your own dated record of business miles and use the app’s history to support it.
General information, not tax advice. Your situation may be different, so check with a tax professional before you file.
Sources
- IRS: Standard mileage rates (all years, including both 2026 rates)
- IRS news release IR-2025-128: 2026 business rate of 72.5 cents (Dec. 29, 2025)
- IRS Internal Revenue Bulletin 2026-29, Announcement 2026-11: 76 cents from July 1, 2026
- IRS Publication 463: Travel, Gift, and Car Expenses (chapter 4: transportation and car expenses; chapter 5: recordkeeping)
- IRS: Instructions for Schedule C (Form 1040), line 9 and Part IV
- IRS Topic no. 554: Self-employment tax
- IRS: Gig economy tax center
Related guides
Want this tracked for you?
Sam’s example only works with a dated log of business miles. Tap Start when your shift begins, type your odometer when you finish, and Work Well Kept keeps the date, miles and app for you. Miles between shifts are counted as personal unless you mark them Business, and the free reports add up business, personal and total miles for any week, month or year.
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General information, not tax advice. Tax rules depend on your situation and can change, so check with a tax professional before you file. Work Well Kept isn’t affiliated with the IRS or with DoorDash, Uber Eats, Amazon Flex or any other gig app. See our Disclaimer.