Tax write offs for job relocation

Having to relocate for your job can actually be a pretty serious pain — shaking up your life with a new position at work can be incredibly exciting, but having to overturn your everyday routine and actually move to a new area can even sometimes wind up being a little something more than that for which we had originally bargained. Fortunately, the IRS seems to actually understand what a huge pain it is to have to move, and seems to seriously have your back if your work situation demands that you relocate to another part of your state or country. Because this is the IRS, however, you can’t really just write them a letter telling them that you moved, and expect a check in the mail. Unsurprisingly, there are a few conditions that have to be met, and even some more rules that’ll follow up those conditions, They’re not incredibly rigorous, however, and actually do their part to make sure you can be adequately compensated (in terms of your taxes, at least) for the irritation and work that has to go into relocating because of your job situation. We’ll talk about what kind of things you can deduct from your taxes, and when you can do them, so moving can be a little easier than it might have seemed.

There are basically two main conditions that are going to convince the IRS that you’re worth deducting these moving expenses from when those returns come out in April. They won’t allow just anyone to deduct their moving expenses, so you’ve got to make sure that a) the distance between your old job and the new one is adequate, and that b) you stay at that new job, employed full-time, for a certain amount of weeks. This is so that someone can’t take advantage of moving 10 miles away, or move somewhere for “work,” only to quit and go grab a job at the local Target while you enjoy a more relaxed pace of life.

First, you’ve got to pass the Test of the 50 Miles. Ok, this isn’t actually it’s official name, but it refers to the fact that you’ve got to live 50 miles farther away from your new job than you did from your old job. If the distance from your home to your new job isn’t at least 50 miles greater than the distance to your old job, then the IRS won’t be interested in helping you move. Beyond this, you’ve got to stay working at this new job for 39 weeks — if you don’t do this, the IRS won’t feel it necessary to adjust your moving expenses. Whether you’re looking for the best Texas accountant or are confident in handling your expenses yourself, there are a lot of ways to make moving to a new place for work a lot less exhausting than it needs to be. And if you meet the right conditions, the IRS will even help you out, as well!


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Jenni Proctor

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