November 2024
Author: ADP Admin/Wednesday, January 3, 2024/Categories: Compliance Corner , Federal Compliance Update
On Dec. 14, 2023, the Internal Revenue Service issued Notice 2024-08 announcing that the standard mileage rate, effective Jan. 1, 2024, for use of an automobile to obtain medical care is 21 cents per mile.
The details:
Transportation expenses, such as automobile mileage, that qualify as tax deductible medical expenses under Internal Revenue Code Section 213 generally can be paid or reimbursed on a tax-free basis by a health flexible spending arrangement, health reimbursement arrangement, or health savings account if the expense is “primarily for, and essential to, medical care.”
For a copy of Notice 2024-08 please click on the link provided below:
https://www.irs.gov/pub/irs-drop/n-24-08.pdf
Have questions?
Please contact your dedicated ADP Service Representative with any questions.
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