Moving credit

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Is there a minimum amount of moving expenses or distance that is required to benefit from the moving credit? What documentation is required to receive the moving credit?

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xmasbaby0Answer

Level 15

Expert Reviewed

What moving credit are you referring to?

MOVING

Per the tax laws that changed for 2018 and beyond, moving expenses are not deductible on a federal return except for certain active duty members of the military.

There are several states that allow a deduction for moving expenses on the state return: AZ, AR, CA, HI, IA, MA, MN, NJ, NY, PA and VA You can enter your moving expenses in the federal software and the information will flow to your state return.

Go to Federal>Deductions and Credits>Other Deductions and Credits>Moving Expenses

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

xmasbaby0

Answer

Level 15

Expert Reviewed

What moving credit are you referring to?

MOVING

Per the tax laws that changed for 2018 and beyond, moving expenses are not deductible on a federal return except for certain active duty members of the military.

Go to Federal>Deductions and Credits>Other Deductions and Credits>Moving Expenses

Bsch4477

Level 15

Most individuals cannot deduct moving expenses on their federal tax returns for the years 2018 through 2025 due to the Tax Cuts and Jobs Act of 2017

. The deduction is only available for active-duty members of the U.S. military who move because of a permanent change of station. Your state laws may be different.

Opus 17

Level 15

Expert Reviewed

Except for military or foreign service, there are no tax benefits for moving. Your expenses are not deductible, and if your employer provides financial assistance, it is taxable like any other bonus.

Some states may still allow deductions for moving expenses if you itemize your deductions on your state return, because not all states go along with the 2018 federal changes. (This means that moving expenses may still be listed in Turbotax--you will not get a federal benefit but you may get a state benefit depending on all your facts and circumstances.). Moving expenses are deductible based on time and distance rules, not the dollar amount. The most common time and distance rule is that your new job must be at least 50 miles farther away from your old home than your old job (50 mile longer commute) and you must stay in the new location at least 39 weeks. (That means that if your old commute is already 50 miles, your new job must be 100 miles away from your old home.) To be more specific, we would have to know which state you are in.