Discuss tax-related moving expenses, liabilities, and deductions with your tax advisor. When you meet the IRS's definition of a qualifying move, the following items may be deductible:

  • The cost of trips to the area of a new job to look for a home. Your home shopping expedition does not have to be successful for the cost to be deductible.

  • The cost of having your furniture and other household items shipped, including the cost of packing, insurance, and storage for up to 30 days.

  • The cost of getting your family to the new home town, including food and lodging expenses on the trip.

  • The cost of lodging and 80% of food expenses for up to 30 days in a new home town, if these temporary living expenses are necessary because you have not yet found your ideal home or it is not ready when you arrive.

  • Certain costs associated with the sale of your hold home and/or purchase of the new one. These expenses - including real estate commissions, legal fees, state transfer taxes, appraisal fees and title fees - could be used either to reduce the gain on the sale of the previous home or to boost the basis of the new one.


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