2006 TAXES: i MOVED TO ILLINOIS FROM CALIFORNIA FOR A NEW JOB CAN I CLAIM THAT AS MOVING EXPENSES ON MY TAXES?

Question

I moved here for a job but quit after a couple of months for another job STILL IN ILLINOIS..can i still claim moving expenses since I changed jobs ?

Answer 1

SURE U CAN. IF I WAS U I WILL CLAIM ABOUT $ 10K FOR MOVING AND TEMP. RENTAL
GOOD LUCK
HITU PATEL

Answer 2

Moving expenses are ONLY deductible when the move is related to employment. There are three tests that must be met in order for the moving expenses to be deductible.

1. Distance test - the new principal place of work must be at least 50 miles farther from your old residence than the old residence was from your old place of work. If this is your first job (no previous place of work), then the new place of work must be at least 50 miles away from your old place of residence. For example, if your old job required you to commute 25 miles each way from your old home to go to work, your new job must be at least 75 miles from your old home.

2. Length of employment test - During the 12 month period immediately following the move, you must be employed full time for at least 39 weeks. If you are self-employed, then you must be employed or performing services full time for at leat 78 weeks of the 24 month period following the move AND at least 39 weeks during the first 12 months. The only exception to meeting this test is if you did not meet this test due to death, disability, involuntary separation from work (fired, laid off, company went out of business), or you were transferred to another location for the benefit of your employer. However the reason for involuntary separation from work cannot be because of willful misconduct (i.e. you were fired because you were caught stealing from the company).

3. Commencement of work test - The moving expenses has to be in connection with starting work at the new location and the moving expenses must be incurred within one year from the time you first report to the new job or business.

Because of the timing of the move (i.e. you moved later in the year), there may be instances where your tax filing is due and you still have not met the length of employment test. In this case, you can claim the moving expenses, but if later on it turns out that you will not meet the length of employment test, you must go back and amend your return, or you can elect to report the amount previously claimed as expenses in your tax return as income in the following year.

Also, moving expenses are not deducted on Schedule A as itemized deductions. Therefore, you are not required to itemize in order to take advantage of deducting your moving expenses. Moving expenses are claimed as adjustments for adjusted gross income. This is reported in the adjustments section on page 1 of the Form 1040.

Finally, if any of your moving expenses are reimbursed by your employer, the amount that was reimbursed is not deductible.

Answer 3

You can definitely claim it as an itemised expense on your 1040.

Answer 4

Yes you should be able to claim it.