IRS Announces Standard Mileage Rates for 2023
December 30, 2022 – On December 30, 2022, the Internal Revenue Service issued Announcement 2023-03. This announcement provided the standard mileage rates for calculating deductible amounts associated with automobile travel for business, charitable, medical, and moving expenses. The standard mileage rate for medical travel in 2023 is 22 cents per mile.
Medical mileage is eligible for reimbursement from Health Savings Accounts (HSA) or Health Care Flexible Spending Accounts (HCFSA). Medical mileage is not eligible for reimbursement from Limited Health Care Flexible Spending Accounts (LFSA) or Dependent Care Flexible Spending Accounts (DCFSA).
What you need to know:
- The standard medical mileage rate for 2023 is 22 cents per mile.
- Medical mileage may be reimbursed from a HCFSA or HSA, but not from a LFSA or DCFSA.
- To claim medical mileage, a participant must verify the expense traveled for was medically necessary and record the miles traveled to receive the service.
Please contact your account manager or business development partner at 800.532.3327 with questions regarding this adjustment.