# Plain Language Summary: Volunteer Driver Tax Appreciation Act of 2022

Right now, when you volunteer to drive for a charity or nonprofit organization, the IRS lets you deduct a certain amount per mile from your taxes to account for wear and tear on your vehicle. That rate is currently set at 14 cents per mile. Meanwhile, if you drive your car for business purposes, the IRS allows you to deduct a much higher rate—typically around 58 cents per mile (this rate changes yearly). This bill would close that gap for volunteer drivers.

The bill creates two different mileage rates for charitable driving. The first rate stays at 14 cents per mile for regular charitable donations and activities. But the second rate applies specifically when you're driving other people or transporting property on behalf of a charity or nonprofit. In those cases, your deduction would jump up to match whatever the standard business mileage rate is. So if the business rate is 58 cents per mile, volunteer drivers transporting people or goods for charities would get that same 58-cent deduction instead of just 14 cents.

This change would mainly benefit people who regularly volunteer as drivers—think of someone who drives seniors to medical appointments for a nonprofit, transports food for a food bank, or shuttles people for a community organization. These volunteers would get a significantly larger tax deduction, which means they'd owe less in taxes or get a bigger refund. The bill would apply to tax years starting after December 31, 2021, so it could affect your taxes going forward if it passes.

Volunteer Driver Tax Appreciation Act of 2022

Volunteer Driver Tax Appreciation Act of 2022 This bill increases the mileage rate for the charitable use of an automobile (14 cents per mile) to the standard business mileage rate (58.5 cents per mile in 2022).