The moving process as a whole can be quite an expensive ordeal. Not to mention you’ve most likely purchased a new home, condo, or apartment. Now you have to get all of your belongings from your old place to your new place in one piece, there is a lot of moving parts there (pun intended), and things can get costly. Luckily, there is potential to be able to deduct a certain amount of your moving expenses! This is a great thing to keep in mind if you see a move coming in your future, and here are some helpful insights on deducting moving expenses!
How can you Deduct Moving Expenses?
Since tax deductions are an IRS issue, it’s no surprise that there is a heap of restrictions and limitations in order for you to qualify to be able to deduct your moving expenses, so we’ll walk you through exactly who can deduct their moving expenses and what credentials they need. If you are moving because of a job or career change, this can qualify as reasonable moving expenses, but in order to qualify for reasonable moving expenses, your move must satisfy these parameters. Your move must be related to work or the start of a new job. Also, you must work full-time for at least thirty-nine weeks during the first 12 months of your employment at your new job. If you satisfy these specific parameters, then you should be able to qualify for reasonable moving expenses.
Types of Moving Expenses
Like previously mentioned, the moving process is made up of many different steps, which means many different expenses. Some of these expenses will be deductible expenses, while certain other expenses are non-deductible.
Deductible Expenses
Deductible expenses really include any expense directly related to the move. Transporting all of your belongings, whether you rent a moving truck or hire a moving company are deductible expenses. Also, transporting yourself and family members is deductible, so the travel costs incurred getting to your new home.
Non-Deductible Expenses
Any expenses relating to the purchase of your new home or the selling of your old home are non-deductible expenses. This includes everything from closing costs, to mortgage fees, to security deposits. Also, the purchase of any food or anything made on your transit to your new home will be non-deductible.
Hopefully, now that you know certain moving expenses are deductible, you may be able to save some money on your next move. If you want to get your all of your belongings to your new place safely, contact Expert Moving and we can get your stuff from here to there with care!
