Write Off Your Moving Expenses

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Real Estate

Write Off Your Moving Expenses

Moving expenses are tax deductible only if:

l Your new job or job transfer is at least 50 miles farther from your home than the old house was.

l you had no previous job, the new one has to be at least 50 miles from your old house.

l your move makes your commute shorter than it was prior to the move. 

l If you’re working full-time (you expect to work at least 39 weeks out of the next 12 months). l If you incur expenses within one year from the day you reported to work at your new job.

The required length of time is waived in cases of a new job for members of the armed forces, those transferred by an employer, those who lost a job through no fault of their own, and those returning to the United States from abroad when they retire (or their survivors).

Qualified deductions include

l Packing and transporting household goods

l Mileage for use of your own car (or gas and oil expenses)

l Tolls and parking fees on the trip

l Up to 30 days' storage of household goods

l Disconnecting and connecting utilities

l Transportation and lodging for yourself and members of your household while traveling to the new home.

Please note: No longer allowable: $3,000 more for up to 30 days’ temporary living expenses, house hunting trips and costs of selling or buying a home. Closing costs are a deduction against the sale of house and part of the basis if you are buying.