Is Moving a Tax Write Off?
Moving and doing your taxes are two stressful things that no one ever really likes to do. However, there are experts available to ease both processes. Our Fort Myers residential movers are always available to make your move enjoyable and stress-free. But wouldn't it be a plus if you could deduct your moving expenses as well?
If you are planning on moving to Fort Myers, you may want to know whether your move can be used as a tax write-off or not. Unfortunately, when doing your taxes, there are a lot of guidelines the Internal Revenue Service (IRS) requires. And when it comes to moving, the IRS has strict rules on who can claim moving expenses on their tax return.
There are three requirements that one must meet to claim moving expenses and our local Fort Myers movers can tell you what they are.
Can You Write Off Moving Expenses?
Some moving expenses can be considered write-offs if they meet the following criteria:
Moving Because of Work
If you are looking to claim your moving expenses, your move must be closely related to your work start date and your move must be closely related in time. If you move within a year of the date that you started working at your new job, you could use your move as a tax write-off. You must also meet a work proximity requirement. This takes into account the distance from your job to your new home. The distance between both must be less than the distance between your previous home and job.
Distance Test Standards
To validate taxing your moving expenses, you must meet the distance test. To pass the distance test, your new job and residence must be a minimum of 50 miles farther than your old home and job. Easily put, if you are moving 50 miles away from your current address, and your new address will make it so that you are closer to work, you meet the requirement. The purpose of this is that you are moving to another city to conserve gas and energy with a shorter commute to work. A shorter commute to work, coupled with conserving, equals tax write-off for being green!
The last requirement to meet to deduct your moving expenses is the time test. If you are an employee, you must work full-time for a minimum of 39 weeks during the first year after you move. If you are self-employed, you must meet an additional requirement, which is a total of 78 full-time weeks within the first two years after arriving in the general area of your new job.
After you review the above requirements, if you are still unsure of which moving expenses you can use as a write-off, our Fort Myers movers recommend that you seek expert advice from a local tax accountant. Whether you need help with taxes or moving, it is never a bad idea to seek help to make sure that you are getting your money’s worth.
As a reminder, when you start spending money on your upcoming move, make sure to keep all of your receipts. If you decide to use a tax accountant by the end of your move and the end of the fiscal year, having your receipts will make deducting your moving expenses a quick and easier process!
For all your moving needs in Fort Myers and the United States, contact our reliable team of movers!! We offer a free, no-obligation quote.