Ohio (OH) Mileage Deduction Calculator
Tax year: 2026 · Figures for Tax Year 2026 · Source: IRS
Built and audited by the CalcSumly Engineering Team using official IRS and State Department of Revenue data.
Total miles driven for business purposes during the year (not commuting).
Total annual miles on this vehicle (business + personal). Used for the actual method only.
Gas, insurance, repairs, and lease or depreciation for the full year. Used for the actual method only.
Your Schedule C net profit before the mileage deduction.
Standard method
Recommended$8,700
72.5¢/mi × 12,000 mi · 2026
Actual method
$4,800
60.0% business use × vehicle costs · 2026
At 12,000 business miles and $80,000 net profit in Ohio, the standard mileage method saves about $3,207 in taxes.
How the mileage deduction works in Ohio for 2026
The mileage deduction is taken on Schedule C under IRC §162. For 2026, the IRS standard rate is 72.5 cents per mile (IRS Notice 2026-10). Alternatively, you can deduct the business-use percentage of your actual vehicle costs.
Federal savings cascade: The deduction reduces Schedule C net profit, which lowers SE tax (15.3% on 92.35% of net profit). The reduced SE tax also lowers the deductible half of SE tax, which further reduces federal AGI and federal income tax.
Ohio taxes federal AGI minus the Ohio standard deduction. The mileage deduction reduces your Schedule C net profit, which reduces federal AGI and therefore reduces Ohio taxable income at your marginal Ohio rate.
Which method saves more?
The standard method wins when 72.5 cents per mile exceeds your actual cost per mile (common with fuel-efficient or low-cost vehicles and high business mileage). The actual method wins when your real vehicle costs per business mile exceed 72.5 cents (common with trucks, luxury vehicles, or high-cost leases with relatively few business miles).
Recordkeeping requirement
The IRS requires a contemporaneous mileage log with the date, destination, business purpose, and miles for each trip. Commuting miles from home to a regular office are not deductible. Keep receipts for all vehicle costs if you use the actual method.
Scope and limitations
This calculator models a single Schedule C business owner. It does not include Section 179 deduction, MACRS depreciation, or bonus depreciation. Local county or city income taxes are not included. Consult a tax professional before filing.
Sources
- IRS Notice 2026-10 — Standard Mileage Rate 72.5 Cents Per Mile
- IRS Publication 463 — Travel, Gift, and Car Expenses
- IRS Rev. Proc. 2025-32 — 2026 Standard Deduction Amounts
- Ohio Revised Code § 5747.02 — income tax rates as amended by HB 96
- Ohio HB 96 (136th General Assembly) — income tax restructuring, enacted June 30, 2025
- Ohio Department of Taxation — Individual Income Tax
Frequently asked questions
What is the mileage deduction for freelancers?+
Freelancers and self-employed people can deduct business driving costs on Schedule C under IRC §162. The 2026 IRS standard mileage rate is 72.5 cents per mile (IRS Notice 2026-10). Alternatively, you can deduct a business-use percentage of your actual vehicle costs. The deduction reduces your Schedule C net profit, which lowers SE tax, federal income tax, and most state income taxes.
Does the mileage deduction reduce self-employment tax?+
Yes. The mileage deduction is a Schedule C deduction, which reduces net profit before SE tax is calculated. SE tax is 15.3% on 92.35% of net profit. A $7,250 deduction (10,000 miles at the standard rate) saves roughly $1,024 in SE tax in addition to federal and state income tax savings.
What records are required for the mileage deduction?+
The IRS requires a contemporaneous mileage log recording the date, destination, business purpose, and miles for each business trip. Commuting miles to a regular office are not deductible. Apps, spreadsheets, or a paper logbook all satisfy the requirement as long as they are maintained at or near the time of each trip.
Does Ohio follow the federal mileage deduction?+
Yes. Ohio conforms to federal Schedule C treatment. Ohio has a two-bracket structure: 0% on the first $26,050 of Ohio taxable income, then 2.75% above that for 2026. Ohio taxable income starts from federal AGI minus the Ohio personal exemption. Most freelancers earning above $60,000 net profit will see their mileage deduction taxed at the 2.75% rate.
What is Ohio's income tax rate on mileage savings?+
Ohio's individual income tax has a flat rate of 2.75% on taxable income above $26,050. Income below that threshold is taxed at 0%. The mileage deduction reduces federal AGI, which flows through to Ohio taxable income. The Ohio savings shown in this calculator assume the deduction falls in the 2.75% bracket.
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