Homeowners who have recently relocated for work may be able to write off the cost of moving themselves, their household goods, their vehicles, and other reasonable costs (except meals) associated with the move. The move is subject to distance and time requirements.
The distance rule is a mileage requirement. Your new place of work must be at least 50 miles further from your former place of residence than was your former place of work.
Additionally, following the move you must be a full-time employee of the new employer for at least 39 weeks of the next 12 months. Under certain conditions the time requirement may be waived. Self-employed individuals and members of the armed service may also be eligible for the moving allowance, subject to special rules.
Interested in learning more? The following white paper outlines a series of tax laws in regards to homeownership: http://www.dh-cpa.com/client_media/files/pdf/2015RefNL_TaxTipsHomeowner.pdf
Need help analyzing what tax breaks you may be eligible for? Davis and Hodgdon Associates CPAs has been assiting nonprofits, individuals and businesses with tax and accounting services in the Burlington Vermont Metro area for more than 20 years. If you have any questions or concerns please feel free to call 802.878.1963 or email [email protected].