DELIVER Act of 2025
- Sponsor
- Sen. King, Angus S., Jr. [I-ME]
- Committees
- Finance Committee (primary)
- Last action
- Mar 6, 2025
Bottom line
The DELIVER Act of 2025 aims to incentivize meal delivery volunteerism by increasing the tax-deductible mileage rate for volunteers to match the higher business rate, thereby reducing their out-of-pocket expenses.
What it actually does
This bill amends the Internal Revenue Code of 1986 to allow volunteers who use their personal automobiles to deliver meals to homebound elderly, disabled, frail, or at-risk individuals to deduct mileage at the standard business mileage rate. Currently, charitable mileage is deductible at a lower rate than business mileage. The change would apply to miles driven on or after the date of enactment.
Proponents argue
Supporters argue that this bill will encourage more individuals to volunteer for essential meal delivery services by helping to offset the rising costs of fuel and vehicle maintenance. They contend that it acknowledges the valuable contribution of these volunteers to vulnerable populations and ensures they are not financially penalized for their charitable efforts, ultimately strengthening community support networks.
Opponents contend
Critics might argue that while well-intentioned, this measure represents a targeted tax expenditure that reduces federal revenue. They may also contend that the impact on overall volunteer engagement might be modest, as many factors beyond mileage reimbursement influence an individual's decision to volunteer, and the benefit primarily accrues to those who itemize deductions.
The bill is exceptionally short and clear, making it very accessible for any reader to understand its provisions and implications quickly.
Section 2(a)
Increase Standard Mileage Rate for Charitable Meal Delivery
This provision amends Section 170(i) of the Internal Revenue Code of 1986. It specifies that for the use of an automobile in delivering meals to homebound individuals who are elderly, disabled, frail, or at risk, the deductible mileage rate for tax purposes shall be the standard business mileage rate set by the Internal Revenue Service for that taxable year. This is a higher rate than the current standard charitable mileage rate, allowing volunteers to deduct more for their driving expenses.
Supporters argue
Proponents argue that this specific provision directly supports a critical community service by making it more financially feasible for volunteers. They contend that it is a fair adjustment to reflect the actual costs of driving and will help sustain and expand vital meal delivery programs for vulnerable populations.
Critics contend
Opponents might argue that this provision, while supporting a worthy cause, constitutes a specific tax carve-out that could lead to calls for similar adjustments for other forms of charitable driving, potentially expanding the impact on federal revenue. They may also point out that the benefit primarily accrues to those who itemize deductions, which may not include all volunteers.
Tradeoffs
The provision balances the desire to support and incentivize charitable volunteerism for a specific, vulnerable population against the cost of reduced federal tax revenue. There's also a tension regarding equity, as only volunteers who itemize deductions will directly benefit from the increased rate.