PCS travel (Travel claim processed from Jan. 1 to Oct. 29, 2018)
The Tax Cuts and Jobs Act, or TCJA, of 2017 applies to your PCS.
2018 Travel W-2’s did not report the following taxable entitlements if they were paid to a third party vendor. Third party payments are payments paid to vendors for taxable moving expenses and counted as income to the traveler. They include:
*HHG shipment *Temporary storage of HHG *Mobile Home Shipment *CONUS non-temp storage
If a payment was made to a third party vendor from January - October 2018, a W-2C will be issued. W-2Cs will be mailed in December 2019.
- If you receive a W-2C from DFAS, you will owe a tax debt to DFAS.
- Your tax debt will be for Social Security (6.2%) and Medicare (1.45%) taxes only.
- Federal income taxes owed will be settled with the IRS on an amended return.
- After you have filed your amended tax return, you may file a Relocation Income Tax Allowance (RITA) claim.
Click here for an info sheet with more details!
If eligible, you may file a Relocation Income Tax Allowance claim immediately after filing your 2019 Income Tax return. The RITA is designed to reimburse most of the federal and state income tax paid as a result of a PCS transfer. The RITA is taxable.
For instructions on how to file a RITA claim, click here to go to the RITA page.
Page updated January 6, 2020