California Moving Expenses the IRS Will Let You Deduct And the Part Nobody Tells You Up Front

Most people think they can deduct moving expenses. Used to be true. Not anymore.

These days, the rules are tighter. Real tight. And if you don’t know that going in, you’re gonna be disappointed come tax time.

At Rise Up Moving, we talk to people about moving costs all the time, and every now and then this question comes up: “Can I write this off?”

Short answer? Usually no. Longer answer? Well, let’s walk through it.

1. Who Actually Qualifies for Moving Expense Deductions

Most people do not qualify for federal moving expense deductions anymore.

The IRS changed the rules, and now the deduction is basically limited to active-duty military members moving under orders.

So if you’re moving for a new job, a better opportunity, or just a change of scenery that’s great — but it doesn’t qualify for a federal tax deduction.

Not what people expect.

2. The Exception: Military Moves

If you’re in the military and moving due to a permanent change of station, that’s where the deduction still applies.

In that case, certain moving expenses can be deducted — packing, transporting your belongings, even storage in some situations.

It’s a very specific lane, though. Not a wide one.

3. What Expenses Used to Be Deductible

Now this part throws people off, because the rules used to be different.

Before the changes, people could deduct things like:

• Packing and shipping household goods
• Transportation and storage
• Travel and lodging during the move

Those are still considered qualified expenses in theory — but for most people, they’re just not deductible anymore under federal law.

Kind of like having a coupon that expired. Still looks good, just doesn’t work.

4. Employer Reimbursements and Taxes

Here’s another twist: if your employer covers your moving costs, that money is often treated as taxable income.

So not only can you usually not deduct the expenses — you might actually be taxed on the reimbursement.

We’ve seen people pause right there and go, “Wait, really?” Yes. Really.

5. California State Tax Differences

Now — and this is where it gets a little interesting — state rules can be different from federal ones.

California, for example, may still allow certain moving expense deductions on your state return if you meet specific requirements related to work and distance.

That doesn’t change the federal side of things. Two separate systems, two separate rulebooks. Always double-check both.

6. Mileage and Travel Considerations

For those who do qualify, the IRS sets a standard mileage rate for moving-related travel.

For 2026, that rate is calculated per mile for eligible moves, but only within those limited qualifying situations.

The structure is still there but the doorway into it is pretty narrow.

Final Thoughts

Moving expenses and tax deductions sound like they should go hand in hand but these days, that’s not really how it works.

For most people, moving is just that — a cost, not a write-off. And while there are a few exceptions, they’re specific enough that you’ll want to be sure before planning around them.

Talk to a tax professional, understand your situation, and don’t assume anything’s deductible until you know for sure.

And when it comes to the move itself — packing, hauling, getting everything where it needs to go — that part we’ve got handled at Rise Up Moving.

The tax side? That’s between you and the IRS. They don’t really do small talk.