Question

Moving expenses from NY to VA

Forum|Forum|1 year ago
March 19, 2025
2 replies
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I moved from NY to VA for job in July 2024. Can I deduct the moving expenses from both my NY and VA returns? If not, which state can I?

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SabrinaD2

You cannot deduct moving expenses on your federal tax return unless you are an active-duty military member. However:

New York

You can deduct moving expenses on your New York state tax return. New York allows deductions for moving expenses that meet specific criteria, such as moving for a new job or business. For detailed information, refer to:

New York State Tax Deduction for Moving Expenses
NY is non-conforming with respect to the suspension of the moving expense deduction by the Tax Cuts and Jobs Act (TCJA), so moving expenses are deductible on a NYS tax return.

Virginia

Virginia also allows deductions for moving expenses. You can claim moving expenses on your Virginia state tax return if they meet the state's criteria. VA conforms to the TCJA as regards to moving expenses, so moving expenses are only deductible in VA if you are a member of the armed forces and qualify for the federal deduction

Virginia Tax Rulings on Moving Expenses

[3/22/2025|04:47 pm, PST] @Dakenned1

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Dakenned1Author

Thank you for your response. So, are you saying I can claim the expenses on both returns? That's what I truly need to know...both, or just the one I moved out of (NY), or just the one I moved into (VA)? It says nothing about that in the links you sent, which I had already read prior to my question. It's confusing and unfortunately, they don't supply enough information. I don't want to get this wrong and end up paying a penalty.

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Opus 17

@Dakenned1 wrote:

Thank you for your response. So, are you saying I can claim the expenses on both returns? That's what I truly need to know...both, or just the one I moved out of (NY), or just the one I moved into (VA)? It says nothing about that in the links you sent, which I had already read prior to my question. It's confusing and unfortunately, they don't supply enough information. I don't want to get this wrong and end up paying a penalty.

Neither state specifies or limits the deduction to only if you move in or out of the state. However, don't list the expenses twice. Generally, you will assign the expense to the state where your permanent address was located as of the date you paid the expense.

These are miscellaneous itemized deductions under the 2% rule. You still enter them in the federal deduction section even though no federal deduction is allowed. Once entered, they will flow to the state return(s). I believe that when you start working on your state returns you have the ability to allocate your various expenses to the state where they belong. Generally speaking, you will allocate your expense to the state where your permanent address was located as of the date you paid the expense. Whether you actually get a tax benefit depends on your overall facts and circumstances.

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Dakenned1Author

Thank you for the additional information!

1. Are you saying that I have to itemized deductions instead of using the standard deduction?

2. Are you saying that I fill in the moving expenses on the federal return for state purpose, should I then file the state returns before the federal so that I can remove the moving expenses from the federal return before filing that?

If the moving expenses are not allowed on the federal return, I'm assuming I can't file it with them in there.

3. So, cost of moving materials like boxes, and moving truck down payment would go to the state I was living in before the actual moving date. Then moving truck balance that was paid at destination and one hotel night at destination would go to the destination state... is that correct?