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This sounded kind of odd to me, but I heard a rumor that you can claim moving costs on your taxes. This was a personal move, nothing business related. But, I'd have rental truck fees, hotel bills and gas.

2007-09-24 08:40:46 · 3 answers · asked by Lunar Sarah 4 in Business & Finance Taxes United States

3 answers

You can -- but with restrictions

Per the IRS the moving should be due to your changing jobs

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You can deduct your moving expenses if you meet all three of the following requirements.

Your move is closely related to the start of work = Your move must be closely related, both in time and in place, to the start of work at your new job location.

You meet the distance test = Your move will meet the distance test if your new main job location is at least 50 miles farther from your former home than your old main job location was from your former home.

You meet the time test = If you are an employee, you must work full time for at least 39 weeks during the first 12 months after you arrive in the general area of your new job location ;
If you are self-employed, you must work full time for at least 39 weeks during the first 12 months and for a total of at least 78 weeks during the first 24 months after you arrive in the general area of your new job location (78-week test).

I suggest you read IRS Publication 521 Moving Expenses http://www.irs.gov/publications/p521/ar02.html#d0e220

2007-09-24 08:49:40 · answer #1 · answered by imisidro 7 · 0 0

No, you can claim moving expenses only if either
a) you will be working somewhere that is at least 50 miles farther from your old home than where you previously worked was from your old home
b) you are in the military and have a permanent change in duty station
c) you are retiring from a job in a foreign country and are moving from a foreign country to the U.S.

2007-09-24 08:48:57 · answer #2 · answered by StephenWeinstein 7 · 0 0

If the move was due to a job change, moving expenses can be deducted if the move meets certain rules. For a personal move not related to a job change, no the expenses aren't deductible.

2007-09-24 10:12:28 · answer #3 · answered by Judy 7 · 0 0

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