Claiming Your Moving Expenses on Your Tax Return

If you’re renting an apartment, you probably know·        A maximum of 15 days' living expenses
that a portion of your apartment rent can be deductednear new or old residence (e.g., hotels and meals).
from your taxes. However, you might not know that·        The cost of cancelling your old lease.
you can also deduct certain moving expenses from·        The cost of selling your old residence
your next tax return, including transportation, packing(including advertising, notary or legal fees, real estate
and storage costs.commissions and mortgage penalties).
You Can Deduct Moving Expenses If …·        If applicable, the costs associated with
To be able to claim moving expenses from yourmaintaining heat and power in a vacant old residence.
taxes, your move has to fit in one of the followingExpenses That Are Not Deductible:
categories:Although the list above covers many of the costs
·        You moved to your new home or newassociated with moving to a new apartment, there are
apartment to start a job or a business, or to attendmany expenses that are not deductible (including some
full-time post-secondary courses at a university, collegethat are similar in nature to those that can be claimed).
or other educational institution.These include:
·        Your new place of residence is at·        A loss on the sale of your previous
least 40 kilometres closer to your workplace or schoolhome.
than your previous home.·        Expenses for work done to make your
·        You moved from one place in Canadaprevious home more saleable.
to another place in Canada.·        Transportation expenses for
Eligible Moving Expenses:house-hunting trips before your move.
The Canada Revenue Agency allows you to deduct·        Mail-forwarding costs.
reasonable amounts that you paid for moving yourself,·        Expenses to replace items such as
your family and your household effects, including:drapes, carpets and toolsheds.
·        Transportation costs associated withBe sure to keep all of your receipts and documents
moving from your old residence to your new one (e.g.,supporting your claims – even if it’s not
gas, meals, and accommodation).necessary to send them with your tax return, the
·        Transportation and storage costs forCRA may want to see them at a later date.
your household effects (e.g., packing, hauling, storagePlease keep in mind that the information presented in
and insurance).this article is very general and is subject to change, as
·        The cost of revising your legaltax laws are modified on a frequent basis. For specific
documents and driver’s license to reflect thedetails about which moving expenses you can claim,
address change,the maximum amount you can claim and the forms
·        The costs associated withyou will need to make your claim, be sure to check out
disconnecting and switching over your utility hookupsthe Canada Revenue Agency’s website or meet
(e.g., cable, Internet, phone, hydro and gas).with a professional accountant.