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    Moving expenses

    Tax payer moved from IN to IL, for the same employer?

    Can he deduct moving expenses?

    Distance test is fine. But TP did not have old job. In my research I found that he still can deduct moving expenses as it will save him time and money.

    #2
    Originally posted by TAX View Post
    Tax payer moved from IN to IL, for the same employer?

    Can he deduct moving expenses?

    Distance test is fine. But TP did not have old job. In my research I found that he still can deduct moving expenses as it will save him time and money.
    I am a little confused. First you say for same employer, then you say "did not have old job". I believe even a college student moving to his first job can deduct moving expenses. So, yes to your question.

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      #3
      Did employer cover the relocation, maybe through reimbursement, or direct payment?

      Comment


        #4
        Originally posted by Gabriele View Post
        I am a little confused. First you say for same employer, then you say "did not have old job". I believe even a college student moving to his first job can deduct moving expenses. So, yes to your question.
        May be I should be more clear. TP was working for ABC company loated in Illinois. But he stayed in Indiana and was commuting from IN to IL. Now he moved out to IL to his own home and still works for the same ABC company.

        In another words he did not change job.

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          #5
          Originally posted by BP. View Post
          Did employer cover the relocation, maybe through reimbursement, or direct payment?
          Employer did not reimburse.

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            #6
            Taxpayer has to meet 3 tests.

            1) Move must be closely related to the start of work.
            2) Your meet the distance test.
            3) You meet the time test.

            Looks like #1 can be met if the move was within one year of starting work for ABC company. If it's longer than 1 year he may still be able to but must show that circumstances existed that prevented the move within the 1-year time.

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