HB1582, titled the Volunteer Driver Tax Appreciation Act of 2025, would amend the Internal Revenue Code to change the charitable mileage deduction rate for certain volunteer transportation. Under current law, the charitable mileage rate is set at 14 cents per mile. The bill would keep that rate for ordinary charitable driving, but create a separate rule for transporting people or property on behalf of a qualifying charitable organization, requiring the IRS-set rate for that activity to be no lower than the standard business mileage rate used for business and income-producing travel deductions.
The bill is intended to better align tax treatment for volunteer drivers who use their own vehicles to transport others for charitable purposes, such as nonprofit rides, delivery of goods, or other service-related transportation. It would apply to taxable years beginning after December 31, 2024, meaning the change would affect returns filed for 2025 and later tax years. The practical effect would be to increase the deductible mileage amount available for certain charitable transportation activities, potentially reducing out-of-pocket costs for volunteers and increasing the tax benefit associated with such service.
Impact
The bill would amend section 170 of the Internal Revenue Code, creating a new statutory distinction between general charitable driving and transportation of persons or property on behalf of a charitable organization. For the latter category, the Secretary of the Treasury would be required to set a rate that is not less than the standard mileage rate used for business and income-producing travel under sections 162 and 212. This would likely increase the charitable deduction available to volunteer drivers and could affect nonprofit organizations that rely on transportation volunteers, as well as taxpayers who itemize deductions for charitable use of their vehicles.
Sentiment
Available context suggests generally favorable treatment of the bill, as reflected by its bipartisan introduction by Mr. Stauber and Ms. Craig and its supportive framing in the title as a tax appreciation measure for volunteer drivers. There are no recorded committee transcripts or votes in the provided material, so there is no evidence of formal opposition or debate in the available record. The bill appears to be presented as a targeted, technical tax adjustment rather than a broader tax policy overhaul.
Contention
No specific points of contention are documented in the provided materials. Potential areas of debate, if the bill advances, could include the revenue impact of increasing deductible mileage rates, whether the IRS should be required to tie charitable transportation deductions to the business mileage rate, and how narrowly the new higher rate would apply to transportation on behalf of qualifying organizations. At present, however, the record provided does not identify any lawmakers, witnesses, or stakeholders taking opposing positions.