|Let Revenue Canada finance your move!|
Certain moving expenses are deductible when computing your income for the year, depending on your tax bracket you could reduce your bill by up to 50% of your expenses.
YOU ARE ELIGIBLE IF:
- You are moving to a new location to start a job or a business, or attend courses full-time at a post-secondary institution.
- Your new home is at least 40-KM closer to your new place of work or school.
EXPENSES THAT ARE DEDUCTIBLE ARE:
- Traveling expenses include vehicle expenses, meals, and accommodation.
- Transportation and storage of personal effects.
- Cost of cancelling at your previous residence.
- Up to 15 days of meals and accommodation near either residence if your moving dates do not coincide.
- Selling costs of your old residence including real estate commission.
- Legal fees on sale of previous residence and purchase of new residence.
- Mortgage penalty.
- Legal fees and land transfer for purchase of new residence.
- Utilities disconnection/reconnection costs.
- Mortgage interest, insurance, property taxes and utilities associated with old residence while attempting to sell it, to a limit of $5,000 for a maximum of 3-month period.
EXPENSES THAT ARE NOT DEDUCTIBLE ARE:
- Loss on the sale of your previous home.
- Expenses for house-hunting trip before your move.
- Cost of work done on your former residence to make it more saleable.
- Deduction is limited to income earned at new location - can be carried forward to other years.
- Deduction is reduced by any reimbursement received from employer.
THIS IS TO BE USED AS A GUIDE ONLY READERS SHOULD CONSULT A PROFESSIONAL ADVISOR BEFORE ACTING ON THE ABOVE
Beebe Cline - Hugh & McKinnon
14007 16th Ave, White Rock, BC, V4A 1P9
Toll Free: 1-888-419-1909, Cell: 604-531-1909, Fax: 604-531-4624