![]() Legal fees, notary fees, and transfer/registration of title taxes for the new residence (minus GST or HST).Lease cancellation charges (but not rent).Transport and storage expenses, such as packing materials, hauling, movers, in-transit storage, and moving insurance, including items such as boats and trailers.Travelling expenses, including items such as gasoline, meals, and accommodations, to move you and your household to the new location.Though there isn't a specific dollar limit, your claim being granted is still dependent on being "reasonable." These specifically mentioned expenses include: There are a number of moving expenses that are explicitly provided for in Section 62 of the Income Tax Act. The best summary of the calculation rules of moving deductions can be found on the T1-M form on the CRA website, which is used to claim the expenses. The remainder of the deduction can be carried over into future years. If the work income earned during the remainder of the year after the move does not exceed the amount deducted, don't worry you won't miss out on your tax benefits. The expenses must be deducted from employment or self-employment income from working at the new location rather than other types of income, such as investment income or benefits. The taxpayer and their household don't have to be travelling together or even at the same time for the moving expenses to qualify. Taxpayers who meet the requirements may deduct reasonable moving expenses for themselves, their household, and personal property. In addition, moving to a new home within the same city-for example, moving to a larger home-will likely not qualify as an eligible move. ![]() The CRA may deny a moving expense claim if your work location before and after the move isn't geographically different. However, it's crucial that the new place of work is, in fact, a new location. This can even apply for students moving back in with their parents to get a summer job, so long as the move meets the distance requirement. Both homeowners and renters may take advantage of these deductions. Luckily, this applies whether or not you're a homeowner. Both the old and new residences are in Canada (unless you're moving for post-secondary education, in which case it's "either or both," or if you're an absent resident).Your place of work isn't already paying the moving expenses for you.Your new residence is at least 40 kilometres closer to your new place of work.You are either 1) moving for business reasons, such as a job transfer to a new location, a new job, or self-employment, or 2) moving to be a full-time student in post-secondary education.You may claim tax deductions for moving expenses if, and only if: Not every move will qualify for tax deductions. ![]() ![]() Always consult with an attorney, tax, or financial advisor before proceeding with any real estate transaction. Let's dive into when you can qualify, which moving expenses you can deduct, and which you can't.įor informational purposes only. Moving can be a stressful experience, but if you're moving for a job, it might come with a financial perk-you may qualify to have your moving expenses count toward tax deductions.
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