Understanding Trip Purposes
Understanding Trip Purposes
Every trip in SmartMiles has a purpose. The purpose determines which IRS mileage rate applies and whether the trip is
included in your deduction totals.
Purpose types
Business
Trips related to your work or self-employment. Examples:
- Driving to a client meeting
- Running work errands (office supplies, post office)
- Traveling between job sites
- Driving for a rideshare or delivery service
Not included: Your regular commute from home to your primary office. The IRS does not consider commuting a deductible
business expense.
Personal
Any driving that is not for business, medical, charity, or moving purposes. Examples:
- Commuting to and from work
- Grocery shopping
- Social visits
- Vacation driving
Personal trips are tracked for your records but are not deductible.
Medical
Driving to and from medical care. Examples:
- Doctor, dentist, or specialist appointments
- Hospital visits
- Picking up prescriptions
- Driving to physical therapy
The medical mileage rate is lower than the business rate.
Charity
Driving while serving a qualified charitable organization. Examples:
- Delivering meals for a food bank
- Driving to volunteer at a nonprofit
- Transporting supplies for a charity event
The charity mileage rate is set by statute and is typically the lowest rate.
Moving
Driving related to a work-related move. This deduction is currently limited to active-duty military members who move due
to a military order.
The moving mileage rate is the same as the medical rate.
How purposes affect your totals
Your trip summary and exports show totals per purpose. Only trips with a deductible purpose (Business, Medical, Charity,
or Moving) contribute to your deduction amount. Unclassified trips are not included in any totals.
Choosing the right purpose
If you are unsure, Business and Personal are the most common choices. Classify every trip — even personal ones — so your
records are complete. The IRS values a thorough log that shows all driving, not just the deductible trips.