Thursday, March 20th, 2014
Blog
It’s tax time and so we thought we’d drop a little info that could save you some dough. We wish every move were tax deductible – and though most are not – some are! If you are moving for the sake of employment or to attend university, then you just may be in luck. But we’re talking taxes, so of course it’s complicated. And there are many interpretations, so talk to your tax professional. Here’s the basics:
Moving at least 40km toward your new employment/school OR to enable employment with the same employer. The first one is pretty clear: you move to a new place for a new job. But the second seems to have been fought for in the courts by people who moved more than 40km toward their current job. Think promotions or moving downtown because you were told you’d be fired if you showed up late one more time. 40km is measured as the easiest publically available route – not as the crow flies. Crows don’t do taxes.
Move must be within Canada. But there are some exceptions for students. PRO TIP: your location for tax purposes is registered on Dec 31 of a given year. So if you’re moving to a province with lower taxes, try to get there sooner. And if you’re moving to a province with higher taxes, push it into the new year if you can.
Which expenses? – Transportation of you and your stuff (includes your moving boxes – er, rather FrogBoxES!), meals and lodging, costs of selling your old home, utility connection/disconnection, address change, and more.
Big thanks to Tim Cestnik who wrote this Globe and Mail Article and RelocateCanada.com for additional info. Remember to talk to your tax professional – we do boxes not taxes. And do let us know if you have any other pro tax tips to help out your fellow Frogboxers. Here’s to happy moving!
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