Deduction of Moving Expenses: Canadian Moving to US (Texas)

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ks.ca
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Joined: Thu Mar 03, 2011 11:21 pm

Deduction of Moving Expenses: Canadian Moving to US (Texas)

Post by ks.ca »

Hello,

I'm sure this has been answered before, however the answers I've found have always been convoluted as the original poster always had an unusual/more complex situation.

My wife and I will be moving down from Canada to Texas in the near future on either a Tn or Tn/Td combination on a three year offer. I have read the following regarding moving expenses:

a) Canadians moving within Canada can deduct their moving expenses through the CRA
b) Americans moving within the United States can deduct theirs through the IRS
c) other situations regarding Americans moving internationally

However I am still not sure if I can deduct my expenses for my move from Canada to Texas, and if so, would that be through the CRA or IRS.

I suspect (hope!) that the expenses would be deducted against my America income, however my confusion results in whether I would a a resident/NR at this point.

If anyone can point me in the direction of a definitive answer for this, I would greatly appreciate it. Including what expenses are permitted and if there are any caps.


Thank you very much for your help!


Kevin
pms151
Posts: 10
Joined: Fri Feb 18, 2011 8:50 pm

Post by pms151 »

I was looking at this myself. You can't claim in Canada, unless a student going for study. You can claim in the USA .If you meet the requirements as stated in Publication 521 you can "deduct expenses for a move to the area of a new main job location within the United States or its possessions. Your move may be from one U.S. location to another or from a foreign country to the United States". It is also discussed in publication 519 , page 27. Its a shame we cant claim through CRA because then things like realtor fees and closing costs could be included, but unfortunately not through the IRS.
nelsona
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Joined: Wed Oct 27, 2004 2:33 pm
Location: Nowhere, man

Post by nelsona »

CRA does not allow moving expenses for either moves to or from canada.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
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