As of January 1, 1970 , the costs of moving expenses incurred by an employee in connection with reporting to a new principal place of employment are excluded from wages if, at the time of such payment, it is reasonable to believe that this expense will be deductible by the employee for income tax purposes under sec. 217 of the IRC.

As of January 1, 1987, an 80 percent limitation, applies to employer-paid business expenses for income tax purposes but not for Social Security purposes.