The Internal Revenue Service (IRS) recently announced the optional standard mileage rates to use for 2004 in computing the deductible costs of operating an automobile for business, charitable, medical or moving expense purposes.

The amounts for the various deductible costs for use of a car are effective Jan. 1 as follows:

• The standard mileage rate for the use of a car for business purposes is 37.5 cents a mile for all business miles driven, up from 36 cents a mile in 2003.
• The standard mileage rate for the use of a car when giving services to a charitable organization remains at 14 cents a mile.
• The standard mileage rate for the use of a car for medical reasons is 14 cents a mile, up from 12 cents a mile in 2003.
• The standard mileage rate to use when computing deductible moving expenses is 14 cents a mile, up from 12 cents a mile in 2003.