The Tax Cuts and Jobs Act, passed in December 2017, eliminated the moving expense deduction for civilian employees. For tax years 2018 through 2025, many moving benefits paid to DoD civilian employees and contractors are now taxable, regardless of whether the employer reimbursed the employee for their out-of-pocket moving expenses or paid the expenses directly. For more information on tax changes and guidance, visit the DFAS website.
For more relocation guides and tips, visit Military.com's PCS and Relocation section.
A previous version of this entry contained incorrect information from the Army on the impact of the changes on overseas moves. The Army has since retracted that release.