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New Member
posted Jun 4, 2019 1:03:23 PM

Can I deduct moving expenses for a new job with a new employer?

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6 Replies
New Member
Jun 4, 2019 1:03:23 PM

Yes, you may be able to deduct the moving expenses if you meet the IRS requirements.

If you moved due to a change in your job or business location, or because you started a new job or business, you may be able to deduct your reasonable moving expenses but not any expenses for meals. You can deduct your moving expenses if you meet all three of the following IRS requirements:

  • Your move closely relates to the start of work
  • You meet the distance test
  • You meet the time test

Move Related to Start of Work - Your move must closely relate both in time and in place to the start of work at your new location. You can consider moving expenses incurred within one year from the date you first reported to work at the new location as closely related in time to the start of work.

The distance test - Your new workplace must be at least 50 miles farther from your old home than your old job location was from your old home. If you had no previous workplace, your new job location must be at least 50 miles from your old home.

The time test - If you're an employee, you must work full-time for at least 39 weeks during the first 12 months immediately following your arrival in the general area of your new job location. 

If you use your car to take yourself, members of your household, or your personal effects to your new home, you can figure your expenses by deducting either:

  • Your actual expenses, such as the amount you pay for gas and oil for your car, if you keep an accurate record of each expense; or
  • The standard mileage rate of 19 cents a mile

You can't deduct any moving expenses covered by reimbursements from your employer that are excluded from your income. 


Level 2
Jun 29, 2020 1:37:45 PM

I don't understand: another reply on this site states:

 

The moving expense deduction (Form 3903) has been repealed for tax years 2018–2025, except for military members who were ordered to move as the result of a permanent change of station (PCS). These filers can still deduct their moving expenses.

 

So, if I'm not military, can I deduct the move as described in the original reply?

Level 15
Jun 29, 2020 1:39:56 PM


@Kapolei wrote:

I don't understand: another reply on this site states:

 

The moving expense deduction (Form 3903) has been repealed for tax years 2018–2025, except for military members who were ordered to move as the result of a permanent change of station (PCS). These filers can still deduct their moving expenses.

 

So, if I'm not military, can I deduct the move as described in the original reply?


No.  Moving expenses are not deductible on a federal tax return due to the tax code changes in effect for tax years 2018 thru 2025.

Level 2
Jun 29, 2020 1:49:45 PM

Thank you!

 

When/how can we deduct moving costs for health reasons?

 

Reason for the Q: are elderly, in our 70's.

Wife has cancer and has big health problems.

We sold home and moved to a 'better climate'.

Can we deduct any moving costs?

 

 

Level 15
Jun 29, 2020 2:00:50 PM


@Kapolei wrote:

Thank you!

 

When/how can we deduct moving costs for health reasons?

 

Reason for the Q: are elderly, in our 70's.

Wife has cancer and has big health problems.

We sold home and moved to a 'better climate'.

Can we deduct any moving costs?

 

 


You can't deduct (as a medical expense) any expenses related to moving, even for medical reasons.

 

You may be able to deduct certain expenses if you pay to modify your home for medical reasons, such as a transfer chairs, stair lifts, and grab bars.  In that case, you deduct the part of the cost that does not increase the value of your home.  (The IRS recognizes that many home improvements for medical reasons don't actually add to the value of the home.)

Level 15
Jun 29, 2020 2:01:48 PM


@Kapolei wrote:

Thank you!

 

When/how can we deduct moving costs for health reasons?

 

Reason for the Q: are elderly, in our 70's.

Wife has cancer and has big health problems.

We sold home and moved to a 'better climate'.

Can we deduct any moving costs?

 

 


Sorry, you cannot deduct moving expenses.  As previously stated, moving expenses are not deductible on a federal tax return due to the tax code changes in effect for tax years 2018 thru 2025.

Only active duty military personnel on Permanent Change of Station orders can deduct moving expenses on a federal tax return.

See this TurboTax support FAQ for the tax code changes - https://ttlc.intuit.com/community/tax-reform/help/how-will-tax-reform-affect-my-federal-tax-return/00/27627