Three Tax Deductions Military Families Often Miss

Tax season brings opportunities many military families overlook. Beyond the standard deductions, several military-specific benefits can reduce your tax burden. Here are three commonly missed deductions worth investigating.

1. Unreimbursed Moving Expenses

While civilians lost this deduction in 2018, active duty military members can still deduct unreimbursed moving expenses for PCS moves. This includes mileage for driving your personal vehicle, lodging during the move, and shipping costs not covered by your orders. Keep detailed receipts.

2. Reserve Travel Expenses

Reservists and National Guard members traveling more than 100 miles from home for drill can deduct travel expenses. This includes mileage, lodging, and 50% of meal costs. These above-the-line deductions reduce your adjusted gross income directly.

3. Uniform Maintenance

If your uniform costs exceed your clothing allowance and you can’t wear your uniform off-duty, you may deduct the difference. This includes dry cleaning, alterations, and replacement items not covered by your allowance.

Documentation Is Key

Keep receipts, orders, and records throughout the year. A dedicated folder or app makes tax time much easier and ensures you capture every eligible deduction.

Consider consulting a tax professional familiar with military-specific deductions. The savings often exceed the preparation costs.