What Does Box 12 Code P Mean on a W-2?
Excludable moving expense reimbursements for armed forces. What it means, whether it is taxable, and what to do with it.
By the Easy Guides Editorial Team · Updated for 2026
Box 12 Code P is excludable moving expense reimbursements for armed forces.
What Code P means
Moving expense reimbursements paid to a member of the U.S. Armed Forces for a qualifying move.
Does Code P affect my taxes?
Not taxable and not in box 1. Since 2018 this exclusion applies only to armed forces members on qualifying moves, which is why most civilians never see this code.
What to do about it
Nothing. It is informational.
Where to find Code P on your W-2
Look at box 12, in the middle-right of the form. It has up to four lines, labelled 12a, 12b, 12c and 12d. Those letters are only line labels. The code you want is the small letter or pair of letters printed next to the amount, and it will read P. If you have more than four entries, your employer issues a second W-2 to carry the rest.
Not the code you were looking for? The full box 12 code list covers every letter, and the W-2 box decoder explains every box on the form.