Worked Example: A Year With Two Mileage Rates
The IRS changed the business rate in the middle of 2026, so a full-year deduction is two calculations added together. A driver who logs 20,000 business miles, split evenly across the year, gets:
| January 1 – June 3010,000 mi × $0.725 | $7,250 |
|---|---|
| July 1 – December 3110,000 mi × $0.76 | $7,600 |
| Standard mileage deduction for 2026 | $14,850 |
The calculator applies one rate at a time. Run it once for each half of the year and add the two results.
The Same Miles in Three Different Vehicles
The standard deduction depends only on miles, so it is identical for every vehicle. What changes is how much of it your car actually uses up. This table runs the same 20,000 miles through the calculator at $2.92 per gallon:
| Vehicle | Fuel and maintenance | Cost per mile | Standard deduction | Deduction above running cost |
|---|---|---|---|---|
| Hybrid sedan50 MPG | $4,168 | $0.21 | $14,850 | $10,682 |
| Compact sedan30 MPG | $4,947 | $0.25 | $14,850 | $9,903 |
| SUV or pickup18 MPG | $6,244 | $0.31 | $14,850 | $8,606 |
Running cost here means fuel plus a maintenance estimate of $0.15 per mile, which is what the calculator models. It is not the actual-expense method. That method also counts insurance, registration, lease payments or depreciation, then multiplies the total by your business-use percentage, so its result can be much higher than the running cost shown here.
A large gap in the last column is the reason many drivers show little taxable profit even with steady earnings. The standard mileage vs. actual expense guide walks through a full comparison, including the rule about choosing a method in the first year.
Which Uber Miles Count
- Usually business miles: driving with a passenger in the car, and driving to a pickup after you accept a request.
- May qualify with good records: miles between completed rides and miles spent repositioning to find the next fare, when the purpose is clearly business.
- Not deductible: ordinary commuting and personal trips, including errands mixed into a driving session.
Mileage shown in a driver app may not match every business mile you drove, so keep your own log with the date, the miles, and the purpose of each trip. See what Uber, Lyft, and DoorDash track for you and the 2026 IRS mileage deduction guide.
From Mileage Deduction to Tax Bill
The mileage deduction lowers Schedule C profit, and profit is what both self-employment tax and federal income tax are based on. To see the effect on a quarterly payment, enter the same miles in the Uber tax calculator or the 1099 tax calculator.
Mileage Deduction FAQs
What is the 2026 IRS mileage rate?
The business rate is 72.5¢ per mile for Jan. 1–Jun. 30 and 76¢ per mile for Jul. 1–Dec. 31, 2026. Track and calculate each period separately.
Can I deduct miles driven to pick up a passenger?
Yes. Miles driven from when you accept a ride request to drop-off, including the deadhead miles to the pickup, are deductible business miles.
Should I use the standard mileage rate or actual expenses?
It depends on what your vehicle really costs to own and run. The calculator compares the standard deduction with estimated fuel and maintenance; a full actual-expense comparison also needs insurance, registration, and depreciation, multiplied by your business-use percentage.
Does this calculator work for DoorDash and Lyft miles?
Yes. The standard mileage rate is the same for every platform. Enter your business miles for rideshare, delivery, or both, and count each mile only once when two apps are on at the same time.
Tax Information Disclaimer
The Uber tax calculator and this page are general education, not tax, legal, or accounting advice. Tax rules change and depend on your circumstances; consult a qualified tax professional before filing. See our terms of use.