1st Step: The Basics
What Makes a tax deductible move?
If you moved to seek out work in a new area, or start a new job, you may qualify in deducting the cost of the move, from your income. The cost of your move includes packing and shipping costs, as well as the cost of travel.
2nd Step: Qualifications
1. Moving because of a new job.
2. Moving to the United States from another country, if you are a retiree.
3. Meeting the time and distance tests.
3rd Step: Distance and Time Tests
In order for the move to be tax deductible, you must meet these requirements.
Time Test: You must work at least 39 hours a week, in the 12 months after your move. For those who are self-employed, you must work at least 78 weeks in the 12 months after your move.
Distance Test: The distance from your new job to your home must be at least 50 miles further than the distance of your old job to your home.