DOT #: 2176401 | MC #: 757701

Can You Deduct Your Moving Expenses? How?

Storage Services

When you shift to a new location, the moving expenses may haunt you. Before implementing TCJA ( Tax Cuts And Jobs Acts), you could deduct your moving expenses on your federal tax return. But in 2018, TCJA suspended this provision for the next tax year, 2025. However, you can consult a reputed moving company to help you shift to a new location at a reasonable rate.

How Can You Claim Moving Expenses Deduction?

Before you claim your moving expenses, make sure they qualify the government rules. You can claim the deduction if,

You are an active member of the US armed force.
You are dependent on your family member who serves the US military.
You are permanently changing your location for duty.

Apart from that, your spouse can also claim a moving expenses deduction if you die while serving the US military.

The Limitations for Moving Expenses Deduction

You must note the expenses that do not qualify for the deduction.

When you pick a longer route to experience the scenic beauty ignoring the direct way, your expenses cannot be deducted.
Sightseeing, side trips, and other personal tours do not come under this benefit.
You cannot deduct the expenses associated with purchasing or selling a new property.
If you register your vehicle in a new state, the license expenses won’t qualify.
After you shift, the expenses of returning to your previous location (for some reason) are not deductible.

Moving Expenses Tax Deduction For Other Nonveteran Taxpayers

Citizens who didn’t serve in the US Armed force but moved before 2017 can also deduct the moving expenses. You get three years from the date you paid your last tax to amend your 2017 tax return file.

Before 2018, the moving expenses include packaging costs, managing household costs, shipping charges, lodging, transport, and more. Even if you are an active veteran, you cannot deduct the side trip and meal costs.

The 3 Tests To Validate Moving Expenses Deduction

Above everything else, three tests determine applicants that qualify to claim the moving expenses deduction.

The distance test: In this case, you need to study the distance between your home and job location. Your new office has to be located at least 50 miles farther from your older house than the distance between your previous office and your former home.
The time test: To clear the time test, you must have worked as a full-time employee or a self-employed individual for 39 weeks in a year. However, this rule is not applicable for,
Retired citizens who worked outside the US and now back for relocation
Spouses of dead persons worked outside the US and now back for relocation.
Citizens who are looking for a new job relocation due to physical disability

The “Closely Related to Starting Work” test: You will have to join your new office within one year from the date you reported your new job location.

Therefore, if you want to claim the moving expenses deduction, make sure to comply with the mentioned facts. However, you are free to visit to gain further knowledge regarding moving expenses deduction.

Sky Van Lines

Address: 4500 Andrews St unit E North Las Vegas NV 89081

Phone: (702) 751-3027


Long Distance Movers
Notify of
Inline Feedbacks
View all comments
Previous reading
How to Pack Fragile Items When Moving?
Next reading
How Can A Moving Company Help To Relocate Your Garden?
Would love your thoughts, please comment.x