Can W-2 Employees Deduct Mileage in 2026?

Notice 2026-10 says the standard mileage rate can't be used to claim an itemized deduction for unreimbursed employee travel expenses, because the One Big Beautiful Bill Act made the suspension of miscellaneous itemized deductions permanent. Exceptions remain for Armed Forces reservists, qualified performing artists, fee-basis state or local government officials and, under the notice, eligible educators.

If you're an employee, use your log to claim reimbursement. Under an accountable plan, reimbursement up to the standard rate isn't wages; amounts above what you substantiate must be returned or are treated as wages (Publication 463, chapter 6). Set “You drive as” to employee in Milesheet and enter what you were reimbursed to see the comparison.

Last reviewed 2026-10-28. General information, not tax advice. Your tax adviser can tell you what applies to you.