Moving can be a costly, but necessary, process. What a lot of people don’t know is that you can qualify for moving-related tax deductions. Read on to find out all the details about claiming your Edmonton moving services this upcoming tax season.
The CRA lays out two criteria you must meet to claim your moving expenses:
- You moved to work or to run a business at a new location, or you moved to study courses as a full-time student enrolled in a post-secondary program at a university, a college, or other educational institution.
- Your new home must be at least 40 kilometres closer (by the shortest public route) to your new work location or school.
What Edmonton Moving Services Can You Deduct?
Good news: there’s a long list of tax deductible items that surround your move. During the moving process, keep track of your expenses to make them easy to claim come tax time! Deductible items include:
Moving and Storage Costs: Includes services like packing, movers, in-transit storage, and insurance for household items (including boats and trailers).
Travel Expenses: Including meals, accommodation, and vehicle expenses while moving to your new home.
Temporary Living Expenses: For up to a maximum of 15 days.
Lease Cancellation Costs: This doesn’t include any due rental payments.
Incidental Moving Related Costs: This can include changing your address on legal documents, replacing driving licenses, and utility hook-ups and disconnections.
Cost To Maintain Your Old Home: Right before you move, while in the process of selling, you can claim up to $5,000 in the cost of maintenance on your old home. This can include interest, property taxes, insurance premiums, and the cost of utilities. Note that you can claim these if you’re renting your old home.
Cost of Selling Your Old Home: This includes advertising costs, notary or legal fees, real estate commission and the mortgage penalty when the mortgage is paid off before maturity.
Cost of Buying Your New Home: If you sold your old house because of your move, you can claim the legal or notary fees, as well as any taxes paid (other than GST/HST) for the transfer or registration of title to the new home.
If you’ve moved, or are planning to move, it’s worth it to look into claiming your move for tax purposes. Be sure to read up on the CRA’s website about all the specifics, and reach out to a qualified professional if you have any questions or concerns.
Looking For Help With Your Upcoming Edmonton Move?
Matco Moving Solutions can help you with your local, long-distance or international move. We are a full-service moving company that is dedicated to delivering a stress-free and positive moving experience. We have locations in Toronto, Calgary, Edmonton, Yellowknife, Whitehorse and Inuvik and over 55 years of moving experience and expertise.
Contact us today for a free moving quote and to learn how Matco can help you with your next move.