Mileage deductions, by miles driven
What is the deduction for 5,000 business miles?
5,000 business miles in 2025 produce a deduction of about $3,500 at the IRS standard rate of $0.70 per mile.
The breakdown
- What is the deduction for 5,000 business miles?
- $3,500
- Estimated tax saved (30% marginal)
- $1,050
- Per 100 miles tracked
- $70
How the assumptions move it
| 25% marginal | 32% marginal | 40% marginal | |
|---|---|---|---|
| Tax saved | $875 | $1,120 | $1,400 |
Run your own numbers in the interactive calculator: Mileage deduction calculator
The formula
Deduction = miles x $0.70. Tax saved = deduction x your marginal rate.
Assumptions on this page
IRS 2025 standard mileage rate ($0.70/mile). Requires a contemporaneous mileage log: date, miles, purpose.