Can I Deduct Moving Expenses?
Moving expenses can be a significant financial consideration, especially during a job transition. However, the eligibility for deducting these expenses has changed significantly due to the Tax Cuts and Jobs Act (TCJA) enacted in 2017.
Current Tax Regulations
As of now, only active-duty members of the Armed Forces on a military move qualify for moving expense deductions. This applies to moves that are due to a change of station, which must be documented using IRS Form 3903.
Eligible Expenses
If you qualify, you can deduct a range of moving expenses, including:
- Costs for transportation and storage of personal belongings
- Travel expenses for you and your family (including lodging, but not meals)
- Moving company fees
Non-Eligible Expenses
Non-eligible expenses include:
- Buying or selling a home
- Temporary housing costs
- Any expenses related to job searching or interviews
Filing for Deductions
To claim your moving expenses, ensure to keep all receipts and fill out the appropriate forms when filing your tax return. For those who do not qualify under the current regulations, consider this aspect in your financial planning.
If you have further questions or unique circumstances, consulting a tax professional can provide personalized advice tailored to your situation.