$0.67/mile: The Tax Weapon the IRS Won't Tell You About

If you drove 25,000 miles for gig work in 2025, the IRS lets you deduct $16,750 from your taxable income. That's not a credit — it's a deduction, meaning your taxable earnings drop by that much. For most drivers, that wipes out the federal tax bill entirely.

The standard mileage rate (2025)

$0.67 per business mile. This covers gas, oil, maintenance, depreciation, insurance — everything. You don't get to deduct those separately. It's mileage OR actual expenses, not both.

What counts as a business mile?

• Driving to pick up a passenger or order.
• Driving with passenger/order in the car.
• Driving between gigs (the empty miles between drop-off and the next ping).
• Driving home from your last ping IF you were online actively looking.
• Driving to get gas DURING a shift.

What doesn't count

• Driving from your home to where you start your shift (this is commuting, sadly).
• Personal errands, even if 'on the way.'

How to track it

Use Stride (free) or MileIQ. Auto-track every drive, swipe-classify business vs personal. The single hardest thing about taxes for drivers is not having a log when the IRS asks. Track every mile, every day, no exceptions.

At 200 miles per shift, 5 days/week, 50 weeks/year = 50,000 business miles = $33,500 in deductions. That's not theoretical money. That's cash that stays in your bank account.