What Moving Expenses are Tax Deductible?

Are moving expenses deductible for the 2024 tax year? 

Years ago (before 2018), moving for a job meant you could deduct related expenses when filing federal taxes. Since the regulations changed in 2017 with the Tax Cuts and Jobs Act, only military service members qualify for federal deductions. 

The good news is that some states allow moving expense deductions on state returns, even if you're not military. Let’s review the current 2024 tax regulations so you’ll know what to expect when you file in 2025.

How did the Tax Cuts and Job Act of 2017 change moving expense deductions? 

The Tax Cuts and Jobs Act of 2017 was created to simplify federal income taxes for individuals. It almost doubled the standard deduction for most U.S. citizens but also suspended some deductions, including moving expenses. In addition, it changed the way you have to claim relocation reimbursement.  

Now, you must claim any compensation for the move as income, including bonuses and relocation packages. 

Note: The bill only outlined the tax cuts through 2025. If it isn’t renewed, federal deductions for moving expenses might be allowed in the future. 

For current rules, consult the IRS guide for moving expense deductions.  

Tax deductible expenses for military moving 

Active-duty military members who move for a permanent change of station are still eligible to claim the following unreimbursed moving expenses on their federal taxes using  Form 3903: 

• Disconnecting and connecting utilities 
• Lodging 
• Moving company fees, including packing, transportation and moving labor 
• Shipping cars or pets 
• Storage 
• Travel 
  • Car — the exact cost of gas or the standard mileage rate 
  • Airline or train tickets   

Need a copy of your U-Pack delivery receipt? Use our customer dashboard. 

States that allow moving deductions   

Even if you’re not active-duty military, on state tax returns, you may be able to itemize your moving expenses or exclude compensation from moving-related income in the states below.  

State rules can change or vary. Click on each state for more information about the 2024 tax year and consult your accountant or tax preparer to see if you qualify: 

• Arkansas   
• California 
• Hawaii  
• Massachusetts 
• New Jersey 
• New York  
• Pennsylvania 

Want to save money on your move regardless of deduction status?  

U-Pack® has you covered. If you’re still in the planning stages, request a free quote online or over the phone at 844-362-5303844-594-3077. You’ll soon see what makes U-Pack one of the cheapest ways to move. 

Here are some other ways to save money on long-distance moves, even if you’re not able to deduct the expenses: 

Handle the moving labor yourself. Packing and loading are significant expenses with full-service movers, but choosing a DIY option like U-Pack is an ideal way to spend less on a move. With U-Pack, you’ll handle the packing, loading and unloading, but we’ll take care of the driving — at prices comparable to truck rental. 

Make fewer trips if possible. Before 2018, you could claim multiple trips, but now it will cost you more money. Try to take care of things like job interviews and house shopping during the same trip to spend less on traveling. 

Compare moving companies and options. Get quotes from several different companies and compare their prices and options to U-Pack to find the best value for your money.  

Questions about filing taxes? 

The deadline for submitting 2024 federal tax returns is Tuesday, April 15, 2025. Some states may have different schedules, so check with your Department of Finance to confirm the due date. 

If you have any questions about taxes or deductions you might qualify for, we recommend contacting an accountant, a tax professional or the  IRS.