Are relocation and moving costs considered taxable income?
Yes. As of January 1, 2018, the exclusion from income for the reimbursement of an individual’s moving expenses has been suspended until January 1, 2026. Payment or reimbursement of an employee’s moving expenses is considered taxable income for the employee (i.e., included in the employee’s pay) and subject to income and employment taxes and required withholdings. Any expense amount submitted for reimbursement or payment to a third-party vendor for an employee’s moving expenses after December 31, 2017 will be taxable, regardless of when the expense was incurred by the employee. This includes all previously defined “qualified” moving/relocation expenses and “non-qualified” moving/relocation expenses.
What is the standard mileage rate used for moving expenses when transporting yourself, members of the household or your personal effects using your personal car to your new home?
The IRS annually announces the standard mileage rates for business, medical, moving and charitable expenses. The standard mileage rate for relocation and moving expenses is different and lower than the business rate and the rate typically changes annually. See the standard mileage rates.
What object code should relocation and moving expenses be charged to?
OC 81616 - Relocation Federal and State Taxable
Who determines what types of relocation and moving expenses Carnegie Mellon will pay for or reimburse?
It is the department's discretion to determine what types of relocation and moving expenses can be paid for or reimbursed.
Is there a limitation on the amount of relocation/moving expenses Carnegie Mellon will pay for or reimburse?
It is the department's discretion to determine if there is a dollar limit on the amount of relocation and moving expenses that can be paid for or reimbursed.
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