Pension & Benefits News IRS provides 2019 maximum vehicle values for cents-per-mile and fleet-average valuation rules
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Tuesday, June 4, 2019

IRS provides 2019 maximum vehicle values for cents-per-mile and fleet-average valuation rules

By Pension and Benefits Editorial Staff

The IRS has released the maximum allowable value of certain employer-provided automobile that are first made available to employees for personal use during calendar year 2019. The maximum value of vehicles for which the cents-per-mile valuation rule of IRS Reg. §1.61-21(e) and the fleet-average valuation rule of IRS Reg. §1.61-21(d) may apply is $50,400 for a passenger automobile.

The notice also provides information about the way the IRS and the Treasury Department intend to publish this maximum vehicle value in the future. Additionally, the notice provides temporary relief from the consistency requirements in Treas. Reg. § 1.61-21(e)(5) for use with the vehicle cents-per-mile valuation rule.

Employers that wish to use the vehicle cents-per-mile rule or the fleet-average value rule for 2018 based on the maximum values set forth in this notice may use the rules in IRS Announcement 85-113 or the adjustment process under Code Sec. 6413 or the refund claim process under Code Sec. 6402 to correct any overpayment of federal employment taxes on these amounts.

Interested parties are invited to submit comments on this notice by July 29, 2019. Comments may be submitted electronically via the Federal eRulemaking Portal at www.regulations.gov (type IRS-2019-34 in the search field on the regulations.gov homepage to find this notice and submit comments). Alternatively, submissions may be sent to CC:PA:LPD:PR (Notice 2019-34), Room 5203, Internal Revenue Service, P.O. Box 7604, Ben Franklin Station, Washington, DC 20044. Submissions also may be hand delivered Monday through Friday between the hours of 8 a.m. and 4 p.m. to CC:PA:LPD:PR (Notice 2019-34), Courier’s Desk, Internal Revenue Service, 1111 Constitution Avenue, NW, Washington, DC 20044.

SOURCE: IRS Notice 2019-34, I.R.B. 2019-22, May 28, 2019.

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