Quick Answer
Most people cannot deduct moving expenses for a new job starting in 2018. The Tax Cuts and Jobs Act suspended this deduction for civilians through 2025, but active-duty military members can still deduct qualifying moves. For most taxpayers, a $3,000 move provides no federal tax deduction, though some states may still allow it.
Best Answer
Diana Flores, Tax Credits & Amendments Specialist
Non-military workers who relocated for a new job and want to deduct moving costs
The moving expense deduction suspension
For tax years 2018 through 2025, the Tax Cuts and Jobs Act suspended the moving expense deduction for most taxpayers. According to IRS Publication 521, this means civilian employees cannot deduct moving expenses on their federal tax return, even if the move was job-related and meets distance requirements.
What this means in practice:
If you spent $5,000 moving for a new job in 2026, you cannot deduct any of those costs on your federal return, regardless of:
What used to qualify (suspended 2018-2025)
Before the suspension, moving expenses were deductible if you met specific tests:
Distance test: Your new job had to be at least 50 miles farther from your old home than your previous job location.
Time test: You had to work full-time for at least 39 weeks during the first 12 months after moving.
Qualifying expenses included:
Example: What the deduction used to save
Pre-2018 scenario:
2018-2025 reality:
State tax considerations
While federal deduction is suspended, some states still allow moving expense deductions on state returns:
Important: Even states that allow moving deductions may have different qualifying rules than the old federal requirements.
Employer reimbursements are taxable
Under current law, employer reimbursements for moving expenses are taxable income to you. This creates a double burden:
1. No deduction for your moving costs
2. Reimbursements count as taxable wages
Example:
Your employer reimburses $4,000 in moving expenses:
What you should do now
1. Don't plan tax deductions around moving costs - they're not available for most people
2. Negotiate gross-up payments if employer offers moving assistance
3. Check your state's rules independently of federal law
4. Keep records anyway in case Congress restores the deduction
5. Consider timing if you're military and might qualify
Use our return scanner to verify you haven't missed other available deductions while the moving expense option remains suspended.
Looking ahead to 2026 and beyond
The suspension expires after 2025, meaning moving expense deductions might return for 2026 tax returns. However, this requires Congressional action, and the rules may change from the pre-2018 version.
Planning tip: If you're considering a job-related move in late 2025, the timing might affect your tax situation if Congress restores the deduction.
Key takeaway: Moving expenses are not deductible for most taxpayers from 2018-2025 due to Tax Cuts and Jobs Act suspension. A $3,000 move provides no federal tax savings, though some states may still allow deductions.
*Sources: [IRS Publication 521](https://www.irs.gov/pub/irs-pdf/p521.pdf), Tax Cuts and Jobs Act of 2017*
Key Takeaway: Moving expenses are not federally deductible for civilians from 2018-2025, meaning a $3,000 job relocation provides no tax savings despite legitimate costs.
Moving expense deduction availability by taxpayer type and year
| Taxpayer Type | 2017 & Earlier | 2018-2025 | 2026 & Later |
|---|---|---|---|
| Civilian employees | Deductible if qualified | Not deductible | TBD (suspension expires) |
| Active-duty military | Deductible if qualified | Deductible (unreimbursed) | Likely still deductible |
| Self-employed | Deductible if qualified | Not deductible | TBD (suspension expires) |
| Reimbursed by employer | Excludable from income | Taxable income | TBD (suspension expires) |
More Perspectives
Robert Kim, Tax Return Analyst
Military personnel who receive permanent change of station (PCS) orders
Military exception to the suspension
Active-duty military members are exempt from the moving expense deduction suspension. According to IRS Publication 3, military personnel can still deduct unreimbursed moving expenses related to permanent change of station (PCS) moves.
What qualifies for military personnel:
Reimbursed vs. unreimbursed expenses
The military typically covers most PCS moving costs, but you may have unreimbursed expenses:
Commonly reimbursed (not deductible):
Potentially unreimbursed (deductible):
Example calculation:
Documentation requirements
Military personnel must maintain records showing:
Filing tip: Use Form 3903 to calculate your moving expense deduction, which then goes to Form 1040.
Key takeaway: Active-duty military can still deduct unreimbursed PCS moving expenses, potentially saving hundreds in taxes on legitimate costs not covered by military allowances.
*Sources: [IRS Publication 3](https://www.irs.gov/pub/irs-pdf/p3.pdf)*
Key Takeaway: Military personnel can still deduct unreimbursed PCS moving expenses, potentially saving $200-500 in taxes on costs not covered by military allowances.
Diana Flores, Tax Credits & Amendments Specialist
Taxpayers who may have missed claiming moving deductions on pre-2018 returns
Amended returns for pre-2018 moves
If you moved for work in 2017 or earlier and didn't claim the moving expense deduction, you can still file an amended return to claim this benefit. The three-year statute of limitations means 2017 returns can be amended until April 2021... wait, that's passed.
Amendment deadlines:
If you're within the deadline window
For any returns still within the amendment period, moving expenses could provide significant refunds:
Example 2017 missed deduction:
To amend, you'd need to:
1. File Form 1040X
2. Include Form 3903 calculating moving expenses
3. Provide documentation supporting the expenses
4. Meet both distance and time tests
Why people missed this deduction
Moving expense deductions were commonly overlooked because:
Above-the-line benefit: Moving expenses reduced adjusted gross income, making them valuable even for non-itemizers.
Learning from past opportunities
While most moving expense amendment opportunities have passed, this illustrates the importance of:
Key takeaway: Amendment deadlines for most pre-2018 moving expenses have passed, but this missed opportunity highlights the value of thorough tax return preparation.
*Sources: [IRS Form 1040X Instructions](https://www.irs.gov/pub/irs-pdf/i1040x.pdf)*
Key Takeaway: Amendment opportunities for pre-2018 moving expenses have mostly expired, but this highlights the importance of comprehensive tax return reviews.
Sources
- IRS Publication 521 — Moving Expenses
- IRS Publication 3 — Armed Forces' Tax Guide
- Tax Cuts and Jobs Act of 2017 — Public Law 115-97
Reviewed by Diana Flores, Tax Credits & Amendments Specialist on February 28, 2026
This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.