For tax years beginning after 2017 and before 2026, the moving expense deduction is generally not available to taxpayers who are not members of the Armed Forces on active duty. However, when filing a prior year return, the availability of the deduction depends on the specific tax year being filed, not the year you are filing the return.
- For tax years 2018 through 2025, the deduction is limited to active-duty military members who move due to a permanent change of station (PCS) order.
- For tax years 2017 and earlier, non-military taxpayers may still qualify for the moving expense deduction if they meet the applicable rules in effect for that year.
Eligibility Criteria
- Must be a member of the Armed Forces on active duty (for tax years 2018–2025).
- Move must be due to a military order for a permanent change of station.
- Move must involve relocating yourself, your spouse, or dependents.
Permitted Deductible Expenses
- Moving household goods and personal effects.
- Travel expenses (including lodging, but not meals).
- Car expenses: either actual out-of-pocket costs (with records) or the standard mileage rate for moving purposes applicable to the specific tax year, plus parking and tolls.
Nondeductible Expenses
- Purchase price of new home.
- Car tags, driver’s license, real estate taxes.
- Expenses related to buying or selling a home (closing costs, mortgage fees, points).
- Lease break fees, home improvements to sell home, storage (except in transit or for foreign moves).
- Meals, unnecessary side trips, lavish lodging.
- Expenses reimbursed by the government or covered by allowances not included in income.
Important Notes
- Use Form 3903 (Moving Expenses) to calculate the deduction if eligible, and report it on Schedule 1 (Form 1040), Part II, Line 14.
- If you file Form 2555 (Foreign Earned Income Exclusion), you must allocate moving expenses between deductible and non-deductible portions based on excluded income (see applicable IRS guidance for that tax year).
- Do not deduct any moving services provided by the government or reimbursed by allowances that are excluded from income.
Source:
Form 3903 Instructions (2025)
Disclaimer: Always verify details with the current IRS forms and instructions or consult a tax professional for personalized advice. This guidance is based on IRS rules for tax years beginning after 2017 and does not apply to military members or specific exceptions.