Standard Mileage Rate
Definition
An IRS per-mile rate businesses and self-employed taxpayers can use to deduct the cost of operating a vehicle for business instead of tracking actual expenses. The rate is set annually.
Related Terms in US Tax
Startup Costs Deduction
A US provision letting a new business deduct a limited amount of qualifying startup and organisational costs in its first year, amortising the remainder over a set period.
Accountable Plan
A US employee expense-reimbursement arrangement that meets IRS rules so reimbursements are not treated as taxable wages. It requires a business connection, substantiation and return of any excess.
Net Operating Loss (NOL)
A US tax loss arising when deductible expenses exceed taxable income. NOLs can generally be carried forward to offset future taxable income, subject to limitations that have changed over time.
Capital Loss Carryover
A US provision allowing capital losses that exceed the amount deductible in a year to be carried forward to offset capital gains and limited ordinary income in later years.
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