SECTION 1. PURPOSE

This notice provides the 2011 standard mileage rates for taxpayers to use in computing the deductible costs of operating an automobile for business, charitable, medical, or moving expense purposes. This

notice also provides the amount taxpayers must use in calculating reductions to basis for depreciation taken under the business standard mileage rate, and the maximum standard automobile cost that may be used in computing the allowance under a fixed and variable rate (FAVR) plan.

Further, this notice requests comments from the public concerning whether taxpayers should be permitted to use the business standard mileage rate for automobiles used in fleet operations.