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Federal Eye
Posted at 06:00 AM ET, 07/05/2011

Mileage rate stays unchanged

The mileage reimbursement rate for federal employees who use their own vehicles while on official business will remain unchanged at least for the time being, even though a rate used for certain tax purposes increased effective July 1.

 The IRS last week announced an increase in the mileage deductibility rate from 51 cents to 55.5 cents per mile, in reaction to higher fuel prices.

 Both that rate and the federal employee mileage reimbursement rate had been 51 cents per mile since the start of the year.

The General Services Administration sets the federal employee reimbursement rate, commonly following the lead of the IRS although there is no requirement that the rates be the same. The National Treasury Employees Union had called on GSA to raise that rate to match the IRS figure, but GSA’s announcement said that for now, the employee reimbursement rate will remain 51 cents per mile.

 “Although the results of our internal evaluation do not support a change at this time, we plan to monitor the fuel costs monthly and will adjust the rate if warranted,” GSA said in an online notice.

By  |  06:00 AM ET, 07/05/2011

 
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