The Canada Revenue Agency (CRA) has announced updated mileage reimbursement rates for 2025. These new rates are used to calculate deductible vehicle expenses for business use.

Updated Mileage Rates

Effective January 1, 2025, the mileage rates are:

• First 5,000 km: 72 cents per kilometre.
• Each additional kilometre: 66 cents per kilometre.
• For the territories: 76 cents per kilometre for the first 5,000 kilometres driven, 70 cents for each additional kilometre.

CRA Mileage Calculator

Take the guesswork out of calculating your mileage deductions! Our free mileage calculator is updated with the 2025 CRA mileage rates, making it easier than ever to estimate your deductions accurately:

• Automatically applies the 72 cents per kilometre rate for the first 5,000 km.
• Adjusts to the 66 cents per kilometre rate for additional kilometres.
• Includes the increased rural rates of 76 cents and 70 cents per kilometre for eligible regions.

Whether you’re a freelancer, small business owner, or self-employed professional, this tool is designed to save you time and ensure you’re maximizing your tax savings.