21-A-008 FY 2021 Updated Private Vehicle Mileage Rates (January 1, 2021) (Supersedes 21-A-001)

The Internal Revenue Service (IRS) has announced changes in the standard mileage rates effective January 1, 2021.  The IRS rate for privately owned automobiles decreases to 56 cents per mile, while the motorcycle rate decreases to 54 cents per mile, and the moving reimbursement rate decreases to 16 cents per mile. The airplane reimbursement rate decreases to $1.26 per air mile.

K.S.A. 75-3203a provides that the mileage reimbursement rates shall not exceed the lowest of the following:

1. the rate allowed by the IRS;
2. the rate used in preparing the governor’s budget report under K.S.A. 75-3721, and amendments thereto; or
3. any revision of the rate as specifically directed in appropriation acts of the legislature.

Thus, per the requirements of K.S.A. 75-3203a, the Department of Administration has adjusted the rates for mileage reimbursement for the remainder of FY 2021, effective January 1, 2021:

• 56¢ per mile for privately owned automobile
• 54¢ per mile for privately owned motorcycle
• $1.26 per mile for privately owned airplane (based on air miles rather than highway miles)
• 16¢ per mile for moving mileage rate

NOTE: Any agency that processed a mileage reimbursement on or after January 1^st for travel that occurred on or after January 1, 2021 and used the previously published rates will need to calculate the difference and either:

• process that amount through payroll as fringe benefit income; or

• reduce that amount from future mileage reimbursements that occur in 2021

JG:me:te

Printable Version: 21-A-008