Question: I just graduated from college and will be starting my first job in September. Are my moving expenses tax-deductible?Answer:
It depends on how far you move. If you’re starting your first job, you can deduct your moving expenses if the new job is at least 50 miles away from your old home. If you qualify, you can deduct the cost of hiring movers (including the cost of packing as well as transporting your possessions) or the cost of renting a moving van. You can also deduct the cost of travel from your old home to your new home (including lodging, but not meals). If you drive, you can deduct 17 cents per mile in 2017, as well as parking and tolls. Keep your receipts and a mileage log. You can also deduct the cost of storing your possessions for up to 30 days between moving and delivery. You can’t deduct any part of the expenses that are reimbursed by your employer.
After your first job, you can deduct moving expenses if your new job is 50 or more miles farther from your old home than your old job was. For instance, if you used to work six miles from home, your new job must be at least 56 miles from your former residence. You don’t need to itemize to take the deduction. Submit IRS Form 3903 when you file your taxes next spring. For more information and a full list of eligible expenses, see IRS Publication 521, Moving Expenses.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
-
Republican Tax Package Expected After Debt Ceiling DealWith a debt ceiling agreement in place, Republicans could soon propose a bill to address some key tax changes.
-
Minnesota Rebate Checks and Child Tax Credit in 2023
Minnesota rebate checks and a new state child tax credit are coming in 2023. Here's everything you should know.
-
Record-High HSA Limit Coming for 2024
The IRS says health savings account contribution amounts are going way up — almost 7% more — for 2024.
-
Supreme Court: Yes, the IRS Can Secretly Obtain Your Bank Records
The Supreme Court has sided with the IRS in a case that involves owing the IRS money, taxpayer privacy, and notice.
-
States Where You’ll Pay Less Income Tax in 2023
Many states have lowered personal income tax rates for this year. Do you live in one?
-
Will an IRS Tax Prep Service Replace H&R Block or TurboTax?
A government-run tax preparation and filing service has some wondering if people will leave H&R Block and TurboTax and let the IRS do their taxes instead.
-
Having a Baby Could Soon Cost Less in These States
Having a baby is expensive, but these states are trying to make it less costly by eliminating the tax on diapers.
-
IRS Service Improvements Could Bring Faster Tax Refunds
Recent IRS improvements mean taxpayers could see faster tax refunds next year and beyond.
