26 USC 217 - Moving expenses

Editorial Notes

Prior Provisions

A prior section 217 was renumbered section 224 of this title.

Amendments

Subsec. (k). Puspan. L. 115–97 added subsec. (k).

1993—Subsec. (span). Puspan. L. 103–66, § 13213(a)(1), amended subsec. (span) generally, restating former par. (1)(A) and (B) as par. (1) and former par. (3)(C) as par. (2) and striking out former par. (1)(C) to (E) which included certain traveling, meals, lodging, and residence sale, purchase, and lease expenses in the term “moving expenses”, par. (2) which defined “qualified residence sale, purchase, or lease expenses”, and par. (3)(A) and (B) which placed dollar limits on the amount allowed to be deducted as moving expenses.

Subsec. (c)(1). Puspan. L. 103–66, § 13213(span), substituted “50 miles” for “35 miles” in subpars. (A) and (B).

Subsec. (e). Puspan. L. 103–66, § 13213(a)(2)(A), struck out heading and text of subsec. (e). Text read as follows: “The amount realized on the sale of the residence described in subparagraph (A) of subsection (span)(2) shall not be decreased by the amount of any expenses described in such subparagraph which are allowed as a deduction under subsection (a), and the basis of a residence described in subparagraph (B) of subsection (span)(2) shall not be increased by the amount of any expenses described in such subparagraph which are allowed as a deduction under subsection (a). This subsection shall not apply to any expenses with respect to which an amount is included in gross income under subsection (d)(3).”

Subsec. (f). Puspan. L. 103–66, § 13213(a)(2)(B), amended heading and text of subsec. (f) generally. Prior to amendment, text read as follows:

“(1) Definition.—For purposes of this section, the term ‘self-employed individual’ means an individual who performs personal services—

“(A) as the owner of the entire interest in an unincorporated trade or business, or

“(B) as a partner in a partnership carrying on a trade or business.

“(2) Rule for application of subsections (span)(1)(c) and (d).—For purposes of subparagraphs (C) and (D) of subsection (span)(1), an individual who commences work at a new principal place of work as a self-employed individual shall be treated as having obtained employment when he has made substantial arrangements to commence such work.”

Subsec. (g)(3). Puspan. L. 103–66, § 13213(a)(2)(C), inserted “and” at end of subpar. (A), redesignated subpar. (C) as (B), and struck out former subpar. (B) which read as follows: “for purposes of subsection (span)(3), as if such place of work was within the same general location as the member’s new principal place of work, and”.

Subsec. (h). Puspan. L. 103–66, § 13213(a)(2)(D), redesignated pars. (2) to (4) as (1) to (3), respectively, and struck out heading and text of former par. (1). Text read as follows: “In the case of a foreign move—

“(A) subsection (span)(1)(D) shall be applied by substituting ‘90 consecutive days’ for ‘30 consecutive days’,

“(B) subsection (span)(3)(A) shall be applied by substituting ‘$4,500’ for ‘$1,500’ and by substituting ‘$6,000’ for ‘$3,000’, and

“(C) subsection (span)(3)(B) shall be applied as if the last sentence of such subsection read as follows: ‘In the case of a husband and wife filing separate returns, subparagraph (A) shall be applied by substituting “$2,250” for “$4,500”, and by substituting “$3,000” for “$6,000”.’ ”

1978—Subsecs. (h) to (j). Puspan. L. 95–615 added subsecs. (h) and (i) and redesignated former subsec. (h) as (j).

1976—Subsec. (span)(3)(A). Puspan. L. 94–455, § 506(span)(1), (2), substituted “$1,500” for “$1,000” after “(1) shall not exceed” and “$3,000” for “$2,500” after “lease expenses shall not exceed”.

Subsec. (span)(3)(B). Puspan. L. 94–455, § 506(span)(3), substituted “ ‘$750’ for ‘$1,500’ ” for “ ‘$500’ for ‘$1,000’ ” after “applied by substituting” and “ ‘$1,500’ for ‘$3,000’ ” for “ ‘$1,250’ for ‘$2,500’ ” after “and by substituting”.

Subsec. (c)(1)(A), (B). Puspan. L. 94–455, § 506(a), substituted “35” for “50” after “at least”.

Subsecs. (g), (h). Puspan. L. 94–455, §§ 506(c), 1906(span)(13)(A), added subsec. (g), redesignated former subsec. (g) as (h) and struck out “or his delegate” after “Secretary”.

1969—Puspan. L. 91–172 substantially reenacted existing provisions and extended the coverage to self-employed persons working at the new location for 78 weeks, made it a requirement that the new principal place of work be located 50 miles from the former residence, and redefined the deduction to include costs of house-hunting trips, temporary living expenses prior to locating a new home, and expenses of selling an old home or buying a new one.

Statutory Notes and Related Subsidiaries

Effective Date of 2017 Amendment

Puspan. L. 115–97, title I, § 11049(span), Dec. 22, 2017, 131 Stat. 2089, provided that: “The amendment made by this section [amending this section] shall apply to taxable years beginning after December 31, 2017.”

Effective Date of 1993 Amendment

Amendment by Puspan. L. 103–66 applicable to expenses incurred after Dec. 31, 1993, see section 13213(e) of Puspan. L. 103–66 set out as a note under section 62 of this title.

Effective Date of 1978 Amendment; Election of Prior Law

Amendment by Puspan. L. 95–615 applicable to taxable years beginning after Dec. 31, 1977, with provision for election of prior law, see section 209 of Puspan. L. 95–615, set out as an Effective Date of 1978 Amendment note under section 911 of this title.

Effective Date of 1976 Amendment

Puspan. L. 94–455, title V, § 506(d), Oct. 4, 1976, 90 Stat. 1569, provided that: “The amendments made by subsections (a) and (span) [amending this section] shall apply to taxable years beginning after December 31, 1976.”

Effective Date of 1969 Amendment

Puspan. L. 91–172, title II, § 231(d), Dec. 30, 1969, 83 Stat. 580, as amended by Puspan. L. 91–642, § 2, Dec. 31, 1970, 84 Stat. 1880; Puspan. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: “The amendments made by this section [enacting section 82 of this title and amending this section and sections 1001 and 1016 of this title] shall apply to taxable years beginning after December 31, 1969, except that—

“(1) section 217 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954] (as amended by subsection (a)) shall not apply to any item to the extent that the taxpayer received or accrued reimbursement or other expense allowance for such item in a taxable year beginning on or before December 31, 1969, which was not included in his gross income; and

“(2) the amendments made by this section shall not apply (at the election of the taxpayer made at such time and manner as the Secretary of the Treasury or his delegate prescribes) with respect to moving expenses paid or incurred before January 1, 1971, in connection with the commencement of work by the taxpayer as an employee at a new principal place of work of which the taxpayer had been notified by his employer on or before December 19, 1969.”

Effective Date

Section applicable to expenses incurred after Dec. 31, 1963, in taxable years ending after such date, see section 213(d) of Puspan. L. 88–272, set out as an Effective Date of 1964 Amendment note under section 62 of this title.

Moving Expenses of Members of the Uniformed Services

Puspan. L. 93–490, § 2, Oct. 26, 1974, 88 Stat. 1466, authorized the Secretary of the Treasury, applicable with respect to taxable years ending before January 1, 1976, to:

(1) enter into an agreement with the Secretary concerned under which the Secretary concerned would not be required to withhold tax on, or to report, moving expense reimbursements made to members of the armed forces;

(2) permit any taxpayer who was a member of the armed forces not to include in adjusted gross income the amount of any reimbursement in kind of moving expenses made by the Secretary concerned; and

(3) permit any taxpayer who was a member of the armed forces to deduct any amount paid by him as moving expenses in connection with any move required by the Secretary concerned, in excess of any reimbursement received for such expenses, without regard to the provisions of subsec. (c) of this section, to the extent it was otherwise deductible under this section.