J.K. Lasser's Your Income Tax 2013: For Preparing Your 2012 Tax Return

12.7 Claiming Deductible Moving Expenses

Qualifying unreimbursed moving expenses (12.3) are deductible on your return whether you claim the standard deduction or itemize deductions. Report your expenses and nontaxable employer reimbursements on Form 3903. Qualifying unreimbursed moving expenses from Form 3903 are then deducted on Form 1040, Line 26, as an adjustment to gross income.

Claiming the deduction before meeting the time test.

If the due date for filing your tax return arrives before you can satisfy the 39-week (12.5) or 78-week (12.6) work test, you may, nevertheless, deduct unreimbursed moving expenses. If you subsequently fail to complete the work requirement, you have to file an amended return or report income; see the Example below. If you file your return without taking the deduction, you may file an amended return after meeting the time test to claim the deduction.

EXAMPLE

You move to a new location on November 1, 2010. At the end of the year, you have worked in your new position only nine weeks. You deduct your moving expenses on your 2010 tax return even though you did not complete the 39- or 78-week period of work. But if, after you file the 2010 return, you move from the location before completing the applicable 39-week or 78-week work period, you must report the 2010 deduction as income on the return for the year you move from the location. Alternatively, you may file an amended 2010 return on which you eliminate the deduction.

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