Massachusetts Updates Tax Code;  Moving Expenses No Longer Deductible

Massachusetts recently announced that it has conformed to much of the Federal tax code, including when it comes to moving expenses.  By eliminating the deduction/exclusion, this leaves only six states that continue to allow certain moving expenses related to household goods and/or final move to be deductible/excludable, with the exception of military moves, which still allow moving expenses to be deductible/excludable at a Federal and state level.

For 2023, the following states allow the deduction/exclusion:

Arkansas

California

Hawaii

New Jersey

New York

Pennsylvania

With the passing of the new state law, moving-related expenses are no longer excludable/deductible in Massachusetts, retroactive to 1/1/22.