Moving expenses paid before starting and not included on w2

[tjb624]

Hello! My wife's company gave us a check for moving expenses that happened in May of 2023, when she did not start the job until July of 2023. They did not include the payment on our W2 and let us know that because it was paid before moving that we need to record it ourselves versus having it listed on the W2 that they gave us. Is this correct? And where should we list this payment? Can I add it to box 1 of the W2? 

[MinhT1]

No. You shouldn't add the amount to your W-2.

These moving expenses are taxable and have to be reported as Other Reportable income.

In TurboTax, open your return and follow these steps:

1. Click on Federal in the left-hand column, then on Wages and Income
2. Locate the Less Common Income section and click on the arrow on the right
3. Click Start next to Miscellaneous Income at the bottom
4. On the next page, click Start next to Other Reportable Income.
5. Describe it as Moving expenses received.

[xmasbaby0]

Oh----and you did not ask this.....but in case your next question is whether you can deduct moving costs---

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.