Jake\'s old residence was eight miles from the old job location, and the new job
ID: 2581627 • Letter: J
Question
Jake's old residence was eight miles from the old job location, and the new job location is 60 miles from his old residence. After the move, Jake worked full-time for the first 52 weeks, but he worked only part-time after that. What are the federal income tax consequences for Jake and Sara regarding the reimbursement of Jake's moving expenses? Jake's old residence was eight miles from the old job location, and the new job location is 60 miles from his old residence. After the move, Jake worked full-time for the first 52 weeks, but he worked only part-time after that. What are the federal income tax consequences for Jake and Sara regarding the reimbursement of Jake's moving expenses?Explanation / Answer
The minimum eligibility to qualify employment test is that the person has to work for 39 weeks out of first 52 weeks. Since jake has worked for full time for first 52 weeks. he is qualified for employement test.
For mileage test, the distance between the old house and new job location should be at least 50 miles, in such cases moving expenses shall be deductible.
Hence Jake is qualified to get deductible moving expenses.
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