Rena had the following moving expenses during 2014: Rena moved to start a new job and met all the required tests for moving expense deductibility.What is the total amount of moving expenses that can be deducted on her 2014 return?

Question

Rena had the following moving expenses during 2014:  Rena moved to start a new job and met all the required tests for moving expense deductibility.What is the total amount of moving expenses that can be deducted on her 2014 return?

Quizplus · Accepted Answer

Based on the given information, Rena met all the required tests for moving expense deductibility. The deduction for moving expenses is allowed only if the move is closely related to the start of work at a new job location and the distance test and time test are met. The distance test requires the new workplace to be at least 50 miles farther from the old home than the old workplace was from the old home. The time test requires the employee to work full-time for at least 39 weeks during the first 12 months after the move (starting from the date of arrival in the new location). Rena had $2,100 in moving expenses, which can be deducted on her 2014 tax return. Therefore, the correct answer is option B ($2,100).

Rena Had the Following Moving Expenses During 2014: Rena