Moving Expenses Reimbursement

Under the One Big Beautiful Bill Act (the OBBBA) of 2025, the personal deduction for relocation expenses and the exclusion from income of employer-paid relocation expenses are permanently suspended. As a result, all moving expenses, whether reimbursed to an individual or paid to a vendor on behalf of an individual, are taxable income to the individual and subject to tax withholding. Refer to the Tax Cuts and Jobs Act on the Congress website.