If you’re relocating for a new job or a job transfer, you may be able to deduct some moving expenses on your taxes. The rules changed in 2018 for most people, but certain groups still qualify. This guide covers who can deduct, what counts, and how to claim it. Always confirm with a tax professional for your situation.

Who Can Deduct Moving Expenses?

Under current law (as of 2026), the moving expense deduction for individuals was suspended from 2018 through 2025 under the Tax Cuts and Jobs Act. For tax year 2026 and beyond, the deduction may be restored—check the latest IRS guidance and tax law changes.

Even when suspended for most taxpayers, members of the U.S. Armed Forces on active duty who move because of a military order and permanent change of station (PCS) can still deduct moving expenses. If you’re in the military, this benefit applies regardless of the general suspension.

General Rules (When the Deduction Applies)

When the moving expense deduction is available, you typically must meet three tests:

Distance Test

Your new job location must be at least 50 miles farther from your old home than your old job was. If you had no old job, the new job must be at least 50 miles from your old home. Short local moves usually don’t qualify.

Time Test

You must work full-time in the new location for at least 39 weeks in the 12 months after you move. For self-employed people, the requirement is 39 weeks in the first 12 months plus 78 weeks in the first 24 months. Exceptions exist for disability, job loss, or transfer.

Work-Related Move

The move must be closely related to starting work at the new location. You generally need to move within one year of starting the job.

What Expenses Are Deductible?

When the deduction applies, these costs are typically deductible:

Expense	Deductible?
Mover fees (packing, loading, transport)	Yes
Storage (up to 30 days)	Yes
Travel to new home (lodging, not meals)	Yes
Car mileage or one-way car shipping	Yes
Meals during travel	No (under prior law)
House-hunting trips	No
Temporary housing	No
Security deposits, rent	No

Keep all receipts and a log of miles driven. You’ll need documentation if the IRS asks.

Employer Reimbursement

Many employers reimburse moving expenses as part of a relocation package. If your employer pays for your move, that reimbursement may be taxable income to you unless it’s structured as a qualified moving expense reimbursement under the tax code. If the general deduction is suspended, employer reimbursements might be taxable. Check with your employer’s HR or a tax advisor.

Some employers offer a gross-up, meaning they add extra to cover the taxes on the reimbursement. Ask your employer how your relocation package is structured.

Military Moves

Active-duty military members who move pursuant to permanent change of station (PCS) orders can deduct moving expenses even when the general deduction is suspended. The same distance and time tests may not apply. The IRS provides specific guidance for military moves in Publication 521. Keep your PCS orders and all moving-related receipts.

How to Claim the Deduction

When the deduction is available, you claim it on Form 3903 (Moving Expenses). You subtract the deduction from your income before calculating tax. The form asks for your old and new addresses, dates, and a breakdown of expenses. Attach it to your Form 1040 when you file. For military members, follow the instructions for the armed forces.

State Taxes

Some states still allow a moving expense deduction even when the federal deduction is suspended. Check your state’s tax agency for rules. If you’re moving to a new state, you may need to file in both states for the year of the move.

Planning Ahead

If you expect to qualify for a moving deduction in the future:

• Save all receipts from your mover (see our guide on deposits and payment for what to keep)
• Track mileage if you drive to your new home
• Keep lodging receipts (not meals) for the trip
• Note your start date at the new job and plan to meet the time test if required

Use our budgeting worksheet to track costs, and our moving cost calculator to estimate your move. For ways to reduce your out-of-pocket cost, see our saving money tips.

Summary

Tax deductions for moving expenses are limited under current law for most people. Military members with PCS moves can still deduct. When the deduction applies, it typically covers mover fees, storage, and travel (excluding meals). Keep receipts and confirm the latest rules with a tax professional or the IRS.