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In May 2017, Regina graduated from USC with a degree in accounting and moved to

ID: 2541807 • Letter: I

Question

In May 2017, Regina graduated from USC with a degree in accounting and moved to Portland, OR, to look for work. Shortly after arriving in Portland, she obtained work as a staff accountant in a local CPA firm. In her move to Portland, Regina incurred the following costs:

$300 in gasoline.

$265 for renting a truck from UPAYME rentals.

$110 for a tow trailer for her car.

$95 in food.

$30 in double espressos from Starbucks.

$330 for motel lodging on the way to Portland.

$440 for a previous plane trip to Portland to look for an apartment.

$195 in temporary storage costs for her collection of crystal figurines.

a. How much, if any, may Regina take as a moving expense deduction on her 2017 tax return?

b. Is that deduction subject to any conditions that could change its deductibility in the future?

Explanation / Answer

Answer

Generally, you can deduct moving expense :

A.

Regina take as a moving expense deduction on her 2017 tax return:

Food Expenses not qualify for the deduction

B.

Deduction subject to any conditions that could change its deductibility in the future:

Moving expenses are only deductible in the year they were incurred. Regina must be a full-time employee for 39 weeks during the 12 months immediately following arrival in the new area.

Particulars Amount($) gasoline 300 renting a truck from UPAYME rentals 265 a tow trailer for her car 110 motel lodging on the way to Portland 330 temporary storage costs for her collection of crystal figurines 195 Total 1200
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