Suozzi, Gillibrand, Gillen Urge Increase in IRS Gas Mileage Deductions to Relieve Strain from High Gas Prices

June 18, 2026

Press Release

Washington, D.C. - Congressman Tom Suozzi (NY-03), Senator Kirsten Gillibrand (D-NY), and Congresswoman Laura Gillen (NY-04) today sent a letter to the Trump Administration, urging them to raise the federal standard mileage rates for certain business, medical, and moving uses to provide relief to New Yorkers suffering from sky-high gas prices.

Increasing the rates would allow small business owners and workers who rely on vehicles for their livelihoods-like rideshare drivers-to deduct or be reimbursed for an increased amount per mile driven, helping offset the higher costs they are paying for gas. It would also benefit individuals who must regularly commute to get lifesaving medical care and service members who must move because of their work.

"Prices are too high across the board for Americans, and the war in Iran drove them even higher at the gas pump," said Congressman Suozzi. "New Yorkers shouldn't have to break the bank just to get to work or make it to a doctor's appointment, but families are being squeezed every time they fill their tank and getting nothing in return. We must immediately bring down costs during this energy crisis by raising the standard mileage rates for business, medical, and moving uses. It's past time we give drivers a fairer break and ease the burden of rising fuel costs."

"New Yorkers are paying the price for President Trump's reckless war with Iran every time they fill up their car with gas," said Senator Gillibrand. "Raising the standard mileage rate is a commonsense way to provide relief. I encourage the administration to implement this change immediately."

"Long Island families, small business owners and rideshare drivers are all feeling crushed by high gas prices caused by the war in Iran," said Congresswoman Gillen. "When people are paying more just to get to work or keep their businesses running, we should be looking for ways to ease that burden. Raising the federal standard mileage rates is a commonsense step that would help offset higher fuel costs and put more money back in the pockets of hardworking New Yorkers."

Each year, the Internal Revenue Service (IRS) adjusts the amount Americans can deduct for miles traveled for business, charitable, and medical purposes, as well as certain job-related expenses. The rate is currently set at 72.5 cents per mile driven for business use, 20.5 cents per mile driven for medical or moving purposes, and 14 cents per mile driven in service of charitable organizations. These current rates do not account for the surge in gas prices due to the war with Iran.

Gas prices rose by 5% nationwide after the United States' war with Iran began on February 28. In New York, the average price for a gallon of gas increased from about $3.00 to over $4.60 at its peak, costing New Yorkers a combined $2 billion more for gas since the start of the war.

In 2022, the Biden administration raised the standard mileage rate by $0.04 per mile to help offset the rising gas prices that followed Russia's invasion of Ukraine. Suozzi, Gillibrand, and Gillen are demanding similar relief for Americans now.

The text of the letter can be found here or below:

Dear Secretary Bessent and Mr. Bisignano:

The war in Iran has created an energy crisis, burdening Americans with exorbitant gas prices. To mitigate rising costs, we strongly urge you to raise the standard mileage rates for business use and medical and moving uses for the remainder of calendar year 2026.

Each year, the Internal Revenue Service (IRS) adjusts the amount Americans can deduct for vehicle miles traveled for business, medical purposes, and certain job-related moving purposes. The standard mileage rates also set the maximum tax-free benefit that employees can receive from their employers for business use of their personal vehicle. On December 29, 2025, the IRS announced that the standard mileage would be set at "72.5 cents per mile driven for business use... 20.5 cents per mile driven for medical purposes... [and] 20.5 cents per mile driven for moving purposes for certain active-duty members of the Armed Forces" beginning on January 1, 2026. While these amounts may have been adequate at the time, they do not account for a drastic rise in fuel prices in recent months.

After the war in Iran began on February 28, gas prices rose by 50 percent. In New York, gas prices increased from an average of $3.00 per gallon to over $4.50 per gallon, making it harder for New Yorkers to see their doctor and New York businesses to conduct day-to-day operations. New Yorkers were already struggling to make ends meet due to this administration's tariff policy. Now, financial strains are further exacerbated by the war in Iran.

In several previous instances of heightened fuel prices, the IRS increased the standard mileage rate. Most recently, the IRS increased the standard mileage rate in 2022 by four cents for business, medical, and moving expenses for active-duty members of the military. Then-Commissioner Charles Rettig stated, "[we] are aware a number of unusual factors have come into play involving fuel costs, and we are taking this special step to help taxpayers, businesses and others who use this rate."

Similar to 2022, special steps must be taken by the IRS to protect Americans as they face high gas prices. Today, an increase in the standard mileage rate is warranted by increased fuel prices while the United States remains at war with Iran. To provide necessary relief to Americans, it is imperative that you raise the standard mileage rates for the remainder of the calendar year.

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